------------------------------------------------------------------------------
Equity Alert: Most bank shares recoup losses; SBI rises 4%
MUMBAI--3PM--Most bank shares recouped losses to rise 1-9% on
value
buying, dealers said. State Bank of India was up 4%, while Canara Bank
and
Axis Bank rose 6% and 5%, respectively.
"The stocks have been hammered recently and are at attractive
levels.
Also working as a positive is that SBI reported good Jul-Sep advance
tax
numbers and most of them do not have much exposure to Lehman)," said a
dealer.
A report from ABN Amro Asia Equities (India) today said except for
ICICI Bank, which has a $80-mln senior bond exposure to Lehman in the
U.K.
subsidiary, no other bank in India seems to have any material counter-
party
risk exposure to the investment bank.
ICICI Bank shares traded 9% lower, despite saying the impact of
this
exposure on its balance sheet is not material.
Punjab National Bank rose 2.5% even as it said its exposure to
Lehman is
estimated at $4 mln-$5 mln. "That is not a significant amount when you
compare it to that of ICICI Bank's," said a dealer.
Mangesh Kulkarni, analyst at Almondz Global Securities, said,
"Despite
RBI's restrictions, banks' credit growth is still 25%. I expect a
22-25%
growth in both deposits and advances in FY09."
He prefers buying shares of public sector unit banks as they have
no
exposure credit derivatives and is positive on Canara Bank, Bank of
India,
and Bank of Baroda.
------------------------------------------------------------------------------
--~--~---------~--~----~------------~-------~--~----~
You received this message because you are subscribed to the Google Groups
"Kences1" group.
To post to this group, send email to [email protected]
To unsubscribe from this group, send email to [EMAIL PROTECTED]
For more options, visit this group at
http://groups.google.com/group/kences1?hl=en
-~----------~----~----~----~------~----~------~--~---
