Nifty Bank Index Revamp Reduces HDFC and ICICI Bank Weightage, Shares Fall 1.25%

Nifty Bank rejig has reduced HDFC Bank and ICICI Bank's weightings, leading to expected cumulative passive outflows of $670 million. Shares of both banks declined 1.25%, accounting for half of the losses in the Sensex and Nifty. The methodology change follows a Securities and Exchange Board of India (SEBI) directive to boost diversity in the index.