HDFC Group's shares slump sharply on heavy selling pressure

Shares of HDFC Bank, HDFC Life Insurance, Housing Development Financial Corporation, and HDFC Asset Management Company declined sharply on Monday due to heavy selloff by foreign institutional investors and in line with sharp slump in broader market indices, said analysts.

Also, fears that RBI may raise policy rates in the upcoming Monetary Policy Meeting starting Tuesday and rising global crude oil prices weighed on the investors' sentiment.

Accordingly, HDFC Bank shares settled 3.5 per cent lower from the previous close at Rs 1,471, whereas HDFC Life Insurance fell 3.4 per cent and settled at Rs 603. Housing Development Financial Corporation settled 3.1 per cent lower at Rs 2,427.

Further, HDFC Asset Management Company slipped 4.0 per cent and settled at Rs 2,208.

"If we look at the profile of the stocks then there is a sharp cut in FIIs' favourite names and heavyweights like HDFC twins, ICICI Bank, Infosys, Kotak Bank, Reliance, etc therefore we can expect large FIIs' selling figure in today's trading session...," said Santosh Meena, Head of Research at Swastika Investmart.

Besides, Nifty private bank index slipped 2.34 per cent on Monday, NSE data showed.

SEE ALSO: Bank of Baroda surges 10% as net profit doubles, aims to grow loan book by 12% next year
Markets slide sharply on fear of aggressive interest rate hikes by US central bank after strong jobs data