PSU Bank Stocks Surge After RBI Cuts CRR by 4%

Banking stocks saw a boost after the RBI cut the cash reserve ratio (CRR) by 50 basis points, with PSU Bank stocks rising nearly 2%. While the repo rate stayed the same, analysts expect more cash flow for banks and slight help for their profit margins. Experts believe the full effect on margins will be felt by FY26, with PSU banks less impacted due to their loan structures.

By Vishal Kumar

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