BFSI stocks drops over 4% as market sell-off deepens, BFSI News, ET BFSI

BFSI stocks drops over 4% as market sell-off deepens

Indian equity markets are facing a sharp downturn today, with the Banking, Financial Services, and Insurance (BFSI) sector bearing the brunt of the sell-off. The broader market sentiment has turned distinctly risk-averse amid global economic jitters, and BFSI heavyweights are witnessing steep intraday declines.
The Nifty banking index was down by over 4 percent.

HDFC Bank had slipped 3.5% to Rs 1,450, while ICICI Bank was down 4.2% at Rs 825. State Bank of India shed 5.1% to Rs 520, Axis Bank had fallen 3.8% to Rs 780, and Kotak Mahindra Bank is trading 4.0% lower at Rsn 1,700. In the non-banking financial space, Bajaj Finance has dropped 4.5% to Rs 6,000. The insurance segment is also under pressure—HDFC Life is down 3.2% at Rs 600, ICICI Prudential Life has lost 3.5% to Rs 520, and SBI Life has slipped 3.0% to ₹1,100. Even Reliance Industries, with its significant financial services exposure, has declined 2.8% to Rs 2,300.

Volatility rises

Adding to the nervousness, the Nifty Volatility Index has surged 57%, signalling deep investor unease. All 13 sectoral indices on the NSE are trading in the red, with financials leading the fall. Analysts are flagging concerns about subdued March-quarter earnings and emerging risks to India’s GDP growth trajectory for FY2026. Despite this, government officials maintain that their growth outlook remains unchanged.

Domestic factors have compounded the global pressure. IndusInd Bank, already reeling from a $175 million accounting discrepancy in its derivatives portfolio, reported flat deposit growth and a 5.2% decline in loan growth for the March quarter.

• Published On Apr 7, 2025 at 01:11 PM IST

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