Bank Stocks Outlook
Analysts see Nifty Bk extending gains before MPC outcome
This story was originally published at 20:24 IST on 30 May 2025
Register to read our real-time news.Informist, Friday, May 30, 2025
MUMBAI – Analysts remained bullish on bank stocks ahead of the outcome of the Reserve Bank of India's Monetary Policy Committee meeting next Friday.
A higher-than-expected reading of India's GDP is expected to provide positive momentum to bank stocks, analysts said. On Friday, the Nifty Bank closed 0.4% higher at 55356.50.
India's GDP growth rose to a four-quarter high of 7.4% in the quarter ended March, thanks to higher government capital expenditure and a pick-up in construction activity, data released by the statistics ministry Friday showed. According to an Informist poll, GDP growth in the March quarter was seen rising to 6.8%.
Shares of Canara Bank led the gains on the sectoral index and was up 7% compared to last week. IndusInd Bank was the worst performer, with its shares falling nearly 3% from last week.
"Bank Nifty relatively outperformed ahead of the RBI monetary policy outcome next week. The index on the weekly chart has formed a small bull candle with a higher high and higher low signaling consolidation with positive bias," Bajaj Broking Research said in a note. "The index is currently testing the upper band of the last 5 weeks' consolidation range placed around 55800-56000 levels. Overall, we expect the index to extend the last 5 weeks' consolidation in the broad range of 56000-53500."
Kotak Securities also sees the uptrend continuing towards 56500–57000. However, below 55000, the uptrend would become vulnerable, the brolerage firm said. "In that case, we could see a correction down to 54500–54200," it said.
TOP HEADLINES
* Fin min recommends implementing RBI's draft norms on gold loans from Jan 1
* ANALYSIS:SEBI order shows web of lies spun by IndusInd Bk then CEO Kathpalia
* IndusInd Bk says long-term debt continues to be CRISIL rating watch negative
* RBI Report: Sustained efforts will continue to deepen financial inclusion
* RBI Report: Banks must address trading, banking book risks as rates moderate
* RBI Report: At INR 257 bln, PSU banks report most amount of FY25 frauds
* RBI Report:To set up multiple bids facility on e-Kuber 2.0 for OMOs, FX swap
* Ample fund, profit to save bks from retail loan fall, global tension: Moody's
* RBI Report: To continue rupee internationalisation amid global protectionism
* RBI Report: To issue norms to address mis-selling of fincl pdts, svcs FY26
* RBI Report: DICGC settled INR 4.76 bln claims in FY25 for 43 urban co-op bks
* RBI Report: To sharpen NBFC supervision, broaden fincl inclusion index FY26
* RBI Report:To review ideal liquidity level for effective policy transmission
* IBBI amends resolution norms, dissenting creditors to get payment on priority
* Sitharaman asks PSU general insurers to develop pdts for evolving users
* SEBI bars former IndusInd Bk CEO Kathpalia, 4 others from securities trade
* Sumitomo Mitsui's YES Bk invest to raise foreign invest in India bks - Fitch
* SEBI demands rigorous framework for key mgmt officials of mkt infra entities
* Govt appoints RBI Deputy Governor Gupta on board of NABARD for 3 years
* Fin min mulls alternative dispute resolution ways to step up debt recovery
* RBI imposes monetary penalty of INR 6.36 mln on Union Bank
* SC says arbitration under SARFAESI Act mandatory, banks can't bypass it
Following are the resistance and support levels for the stocks for next week as per calculations by Informist based on their prices on the National Stock Exchange:
| Company | Price | Week-on-Week Change in % | Resistance | Support |
| AU Small Finance Bank | 693.05 | (-)0.50 | 709.40 | 682.10 |
| Axis Bank | 1192.20 | (-)1.50 | 1216.10 | 1177.70 |
| Bank of Baroda | 249.55 | 2.70 | 257.10 | 238.40 |
| Canara Bank | 114.76 | 7.00 | 119.10 | 107.10 |
| Federal Bank | 202.06 | (-)0.70 | 204.80 | 198.90 |
| HDFC Bank | 1944.90 | 0.60 | 1963.10 | 1916.30 |
| ICICI Bank | 1445.80 | (-)0.30 | 1466.90 | 1433.70 |
| IDFC FIRST Bank | 67.97 | 1.30 | 69.20 | 66.80 |
| IndusInd Bank | 816.95 | 3.00 | 830.10 | 804.40 |
| Kotak Mahindra Bank | 2074.70 | (-)1.20 | 2101.50 | 2052.10 |
| Punjab National Bank | 105.82 | 5.40 | 109.50 | 99.20 |
| State Bank of India | 812.30 | 2.80 | 828.40 | 784.60 |
| Nifty Bank | 55749.70 | 0.60 | 56096.60 | 55183.20 |
| Nifty 50 | 24750.70 | (-)0.40 | 24923.90 | 24630.80 |
| S&P BSE Sensex | 81451.01 | (-)0.30 | 81890.30 | 81066.80 |
End
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
Reported by Kabir Sharma
Edited by Tanima Banerjee
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.
Informist Media Tel +91 (22) 6985-4000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2025. All rights reserved.
To read more please subscribe
Share this Story:
