Experts said the liquidity crunch at NBFCs had compounded worries for the market, which is already grappling with the depreciating rupee and higher oil prices
Bajaj Finance, HDFC most preferred; analysts favour shift to high-quality banks
Bajaj Finance, DHFL, Centrum Capital, Shriram Transport and Muthoot Finance were up in the range of 5% to 12% after a media reported that the SBIs loan portfolio buys will provide liquidity to NBFCs
In addition to higher costs, the Street is worried about fall in credit growth
Edelweiss Financial Services, Srei Infrastructure Finance, Can Fin Homes and Reliance Capital were down 5% to 14% on the BSE.
Even as Q2 earnings appear promising, experts believe high valuations post the recent rally limits the risk-reward for NBFC stocks