BOI, Oriental Bank, Canara Bank, PNB, Vedanta, Tata Steel, Jindal Steel and Hindalco declined by over 30% during the year.all stocks on the NSE and 90.10% of the traded value of the stocks forming part of the IT sector. Selection Criteria.
The deterioration in the asset quality of banks in general, and public sector banks (PSBs) in particular, continued during the year have led the downfall in PSU banking shares. The uncertainty regarding growth in China, which accounting for more than 40% of global demand for most key base metals, was the main reasons for the fall in metal stocks.
Metal companies had posted 47% year-on-year (YoY) declined in their aggregate net profit, while ex-State Bank of India, the combined net profit of 11 PSBs from Nifty PSU Bank index nearly halved during the first half of current financial year 2015-16 (FY16).
“The performance of the Indian banking sector remained subdued as it experienced a slowdown in balance sheet growth in 2014-15. While the PSBs registered deceleration in credit growth, the private sector banks (PVBs) and foreign banks (FBs) showed higher credit growth,” said the Financial Stability Report released by the Reserve Bank of India.