The NSE Nifty Bank index declined 0.63% to 57,836.75 after moving between an intraday high of 58,007.25 and a low of 57,706.75. According to reports from NDTV Profit, selling pressure spread across most large lenders as banking stocks traded lower in early deals on Wednesday. The weakness in heavyweight banking shares kept the sector under pressure even as ICICI Bank posted marginal gains of 0.06%, standing out from the broader trend.
Among the index heavyweights, Bank of Baroda declined 1.43%, Punjab National Bank lost 1.37%, State Bank of India fell 1.33%, Canara Bank dropped 1.30% and Kotak Mahindra Bank slipped 1.01%. As reported by NDTV Profit, other lenders also traded in the red, with HDFC Bank falling 0.01%, Axis Bank declining 0.80%, IndusInd Bank losing 1.34%, Yes Bank slipping 1.20%, IDFC First Bank falling 0.68%, Federal Bank declining 0.47%, Union Bank of India dropping 1.95% and AU Small Finance Bank losing 0.80%.
F&O data showed open interest in Bank Nifty futures rose 30.75% since the last expiry, while total open interest increased 47.28%. According to NDTV Profit, call open interest rose 57.90% and put open interest increased 40.33%. In the options market, the highest open interest on both the call and put sides was concentrated at the 58,000 strike. The futures trends screen showed Bank Nifty in the liquidation category, with open interest declining 0.68% in the current contract.
Fresh short positions were visible across several banking contracts, including Bank Nifty, Union Bank, Bank of India, Bank of Baroda, Axis Bank, Yes Bank and RBL Bank. As reported by NDTV Profit, call open interest additions were strongest around the 58,000 strike, while the largest reduction in put open interest was seen near the 57,500 strike. The options market activity suggests continued bearish sentiment among traders.
