Bank stocks slip as Maha farm loan waiver adds to FPI worry

Banking stocks plunged on Monday, with the Bank Nifty seeing its steepest fall since April 2025. Maharashtra’s farm loan waiver announcement triggered widespread selling, particularly impacting state-owned banks. This, coupled with foreign investors’ cautious stance on Indian equities, led to significant losses across the banking sector, with Union Bank of India and IDFC First Bank among the hardest hit.

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