New Delhi: Global ratings agency Moody's downgraded the private sector Yes Bank ratings with a negative outlook. Due to this news, the share of Yes Bank fell by more than 5 percent. YES Bank shares fell to below Rs 59 in early trade. Apart from Yes Bank, shares of SBI, ONGC, Mahindra, IndusInd Bank and Tata Motors were also seen during the business.
Meanwhile, the Sensex and Nifty positions remained flat in early trade. In the initial minutes, the Sensex was seen trading with a slight increase, but after some time it started to trade on the red mark. At 10.50 am, the Sensex was trading at a level of 40,780. The Nifty was at the level of 12,015. Rating agency Moody's downgraded the ratings due to concerns over the deterioration in Yes Bank's loan quality and the falling capital buffer.
The rating agency has raised questions about timing, pricing and regulatory approval in the claim of showing interest of investing $ 2 billion in the bank. Let me tell you that recently there was talk of raising funds of 2 billion dollars from Yes Bank. This plan of the bank can be discussed in the board meeting to be held on December 10.