Indian Overseas Bank shares down 3% on RBI move.

 Shares of Indian Overseas Bank fell by nearly 3 percent following the RBIannouncing restrictions on the firm and taking "prompt corrective action" with the view to improve internal processes to deal with mounting non- performing assets.

The stock lost 2.27 percent to Rs 36.50 on BSE.

At NSE, shares of the company declined by 2.93 percent to Rs 36.35.

"The RBI has initiated a prompt corrective action on the bank and that this action will not have any material impact on the growth prospects or performance of the bank," IOB had said in a regulatory filing yesterday.

The RBI has specified certain regulatory trigger points, as a part of prompt corrective action (PCA) framework, in terms of three parameters -- capital to risk weighted assets ratio (CRAR), net NPA and Return on Assets (RoA), for initiation of certain structured and discretionary actions in respect of banks hitting such trigger points.

Gross NPA of the bank rose to 9.40 percent for the quarter ended June 30.

IOB's gross non-performing assets rose to 8.30 percent at the end of March 31, from 4.84 percent a year ago, according to the provisional RBI data taking into account domestic operations of banks.

Sensex regains 27K mark, surges 225 points on global cues.

 The benchmark BSE Sensex regained the 27,000 mark by climbing about 225 points in early trade on Tuesday on the back of continued buying by participants amid a firming trend in global markets.

The 30-share index surged 224.72 points, or 0.83 per cent, to trade above the 27,000 level at 27,010.27.

All sectoral indices led by consumer durables, healthcare and oil & gas were trading in the positive zone with gains of up to 1.06 per cent.

The gauge had rallied 1,168.71 points in the previous four straight sessions.
The NSE Nifty rose by 61.65 points, or 0.75 per cent to 8,180.95 points.

Brokers said a firming trend in Asian markets, tracking overnight gains on the US bourses influenced sentiment here.

Dr Reddy, Tata Motors, Sun Pharma, GAIL, Lupin, Coal India, Tata Steel, Hind Unilever, NTPC, SBI, ICICI Bank and ONGC were among major gainers.

Among other Asian markets, Hong Kong's Hang Seng was up 0.20 per cent while Japan's Nikkei gained 1.49 per cent in early trade today.

The US Dow Jones Industrial Average ended 1.85 per cent higher in yesterday's trade on speculations that disappointing economic data might push the Federal Reserve to delay any plans to hike interest rates until December.