Unabated FPI selling in Oct

New Delhi: Foreign Portfolio investors (FPIs) dumped Indian equities worth Rs8,000 crore in the first week of October on the back of dollar appreciation and the steady rise in the US bond yields.

This came after FPIs turned net sellers in September and pulled out Rs14,767 crore. “Before the outflow, FPIs were incessantly buying Indian equities in the last six months from March to August and brought in Rs1.74 lakh crore during the period.

Going ahead, FPIs are unlikely to turn buyers in the market soon in the context of the elevated dollar and US bond yields,” said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services. According to the data with the depositories, Foreign Portfolio Investors (FPIs) sold shares to the tune of Rs8,000 crore in this month (till October 6).

India continues to be on top of emerging economies in attracting FPI this year, but September witnessed selling and October has begun with the same trend.