Uncertainty over Rana Kapoor's reappointment is 'big negative' for YES Bank

Analysts at Macquarie suggest that anything short of a full three-year term for Kapoor will be taken negatively by investors

Markets, for one, do not like uncertainty – and that’s exactly what’s driving down YES Bank at the bourses. On Thursday, the Reserve Bank of India (RBI) approved the continuation of Rana Kapoor as their managing director and chief executive till further notice. This, analysts believe, has triggered one of the catalysts that can trigger a correction in the stock.

On Friday, the stock slipped 7 per cent in intra-day deals to hit an eight-week low of Rs 338 levels. The uncertainty surrounding the reappointment has seen the counter slip 14 per cent in the past eight trading sessions, as