The banking sector has ~30% weightage in the Nifty 50 index. While PSU Banks have outperformed Nifty over the last 5 years, Private Banks have lagged.
What could be the reason for this according to you? And how do you see the banking sector faring in the coming months?
Its manipulation by govt, govt need to sell all psu asset in high price with one click
Not directly related to Banks but found an article in moneycontrol on PSU with a smart title as well.
it says on banking
From FY14-24, public-sector banks cleaned up their balance sheets, initially taking a toll on overall PSU profits since these banks formed one-third of the profit pool of Indian PSUs.
Motilal Oswal noted that the profits of PSU Banks soared to Rs 1.6 lakh crore in FY24 from a reported loss of Rs 30,000 crore in FY19. About 68 percent of the profits during FY19-24 came from BFSI, with Oil & Gas and Metals chipping in 21 percent and 5 percent, respectively
copied.
any psu tends to rally when ministers pump in money not seen in orders. this used to happen once every few years. the listing of lic and its performance was a clear, visible scam and was the last straw; many, like me, had our conspiracies confirmed. i mean, what does lic fundamentally lack? it’s just looting people. i agree with @TradeB2B here. they just need to sell off and don’t care about retailers at all. having said that, positional traders can benefit to some extent i feel, especially if you want to become third largest economy, you need to push the psus some what for few more years. my opinions.
how is LIC looting people? Just dont understand.
