It's now a fast emerging pattern of the markets. The biggest losers from the Nifty and the Sensex space are stocks from the financial sector. They have the highest weightage in the Nifty and when these set of stocks plunge, it drags the markets lower.
Even today, from the top 5 losers space, at least four are from the financial space. In fact, Axis Bank has crashed a huge 21 per cent in trade and has witnessed the biggest ever fall in the history of the stock.
Here are some financial stocks that have plunged in trade today from the banking and finance space.
|Name||% fall on March 23|
|SBI Cards and Payments||-17%|
|ICICI Lombard General Insurance||-14%|
There are now worries that should there be an economic slowdown, which is almost certain, there would most certainly be rising non performing assets from both the corporate side and the retail side. As such banks are going to have a few bad quarters for sure. So, longer the coronovirus infections take to abate, the bigger the mess for the financial sector. One would really need to be careful before investing in the banking sector, as a shock could be looming.