Bank deposit rates are expected to remain steady. Lenders need funds for increasing loan demands. The recent CRR cut offers some relief but the busy credit season keeps pressure on. Credit growth is around 10.6%. Deposit growth is similar. Liquidity is tight. Short-term rates are rising. Banks are working hard to attract deposits by offering competitive rates.
Gautam Duggad sees PE re-rating potential in 2 sectors; likes largecaps & may raise weight in Reliance
Gautam Duggal, Head of Research at Motilal Oswal, sees limited PE re-rating potential, primarily in large-cap financials and capital market stocks. He favors earnings visibility