Buy banking stocks on correction: Arindam Ghosh

Arindam Ghosh, MD & CEO of Blackridge Capital Advisors told CNBC-TV18, "Banking sector continues to remain extremely challenged given the fact that short-term interest rates continue to remain high. We have a yield curve, which is inverted. At the same time, there is pressure on net interest margin (NIM) and pressure on credit growth. On top of that, we have capitalisation issue, so that is going to take a while to recover."

"Having said that, the financial services sector particularly banking is always the leading barometer for the economy. So as of now, we see revival probably this will be the first one which will start galloping again, but for the moment, given the sharp run that we have seen largely on account of short covering, one would wait for some correction as an entry point," he added.