Mark To Market: Financial stocks come under pressure again as worries over new stress increase

The Nifty Bank index has lost 2% over the past two... moreThe Nifty Bank index has lost 2% over the past two trading sessions. It has recovered some today but there are worries still. Investors are concerned that stress on bank balance sheets is yet to ease. RBI’s action of putting Lakshmi Vilas Bank under prompt corrective action has raised concerns over its merger with Indiabulls Housing Finance. DHFL's draft resolution plan has dissapointed. As banks begin to detail their quarterly earnings in the coming days, the worry is that stress will re-emerge and affect profits.