Bank stocks hammered

With the market resigned to possible hike in repo rates, with CPI numbers galloping and the Index of Industrial Production shrinking, the banking stocks came under the hammer in the morning trade today.

The Bank Nifty was down about 175 points in the morning trade and bank index was covered in a swathe of red as all the 12 stocks in the Bank Nifty were down.

ICICI Bank was the biggest loser in terms of value with the stock shedding Rs 32.60 to trade at Rs 1,100. Axis Bank lost Rs 22.70 to trade at Rs 1,225 and SBI lost Rs 12.75 to Rs 1,764.29.

Bank of Baroda was another big loser with the stock down by Rs 13.25 at Rs 668.75. PNB , which shed Rs 10.45 to trade at Rs 575.75, IndusInd Bank that lost Rs 10.45 to trade at Rs 423.15 were among the other major losers.

Shares of HDFC Bank , which lost Rs 2.20 at Rs 693, and Union Bank of India and Bank of India managed to limit their losses.

Fed tapering fears

That the US Dow yesterday lost about 100 points over increasing fears of US Fed taking a call on the rollback of its bond-buying programme on stronger job numbers and the truce among warring political parties over budget, and the Indian rupee breaching the Rs 62 mark against the US dollar have added to the worries of the investors.