PSU Banks looking weak

PSU BANKS are looking weak and few report also suggest and banks profitability would get hampered by rising bonds yields and Monsoon impact on rural economy where more NPA’s are bound to happen.

• SBI may report higher MTM losses if bond yield rises more.
• RBI report say inflation can be risk and review in policy likely in near future.
• Micro finance in rural areas in disarray as weak monsoon has displaced many, would force many Banks to write-off bad debts in months to come.
• Government borrowing likely to push interest higher as per RBI report.

 http://rbi.org.in/scripts/BS_PressReleaseDisplay.aspx?prid=21266 RBI Policy

BSEBANKEX (8310)
This index has been static for past 4month and 14week with tight range bound movement and few stocks have Gapped-down in this week SBIN & YESBANK and this are only 2stock which gapped-down in top 500 shares to do so.
 

Banking Index below 8100 can be considered weak 


Read more reports on banking:-



http://www.4shared.com/file/128270079/7b21ae31/Banking_sector_ISEC.html
http://www.4shared.com/file/128270078/c269ea7/INDIANBANK-CLSA.html