ANI
02 Jul 2022, 14:18 GMT+10
New Delhi [India], July 2 (ANI): Foreign portfolio investors (FPIs) have pulled out Rs 50,203 crore worth of equities from India in the month of June, according to the latest National Securities Depository data.
FPIs have been persistently selling equities in the Indian markets for the past nine-to-ten months due to various reasons, including tightening of monetary policy, rising current account deficit on account of depreciation of rupee, rising dollar and bond yields in the US.
FPIs typically preferred advanced economies in times of sharp volatility and uncertainty in the overall financial markets.
So far in 2022, they sold equities worth Rs 217,619 crore, NSDL data showed. During the same period, Sensex and Nifty declined over 10 per cent each.
"This massive capital outflow has significantly contributed to the depreciation in INR which breached 79 to the dollar recently. The relentless FPI selling has to be seen in the context of a steadily rising dollar and bond yields in US," said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
"FPIs are selling more in countries with rising current account deficits like India because the currencies of such countries are vulnerable to further depreciation. Towards the end of June FPI selling has been showing a declining trend."This trend will be halted only when the dollar stabilises and US bond yields decline, Vijayakumar added. (ANI)
Get a daily dose of Mexico Star news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Mexico Star.
More InformationNew York [US], August 19 (ANI): UN chief Antonio Guterres on Friday expressed his deep concern over a series of ...
cairo - Algeria's civil protection authority said Thursday that the death toll from forest fires raging in at least 26 ...
Your education has a huge effect on your life chances. As well as being likely to lead to better wages, ...
Faced with the winds of social change, Immigration, Refugees and Citizenship Canada (IRCC) redefined family reunification to include same-sex couples ...
algiers, algeria - Wildfires raging in the forests of eastern Algeria have killed at least 37 people and wounded 161 ...
Siliguri [Assam], August 18, (ANI): Defence minister Rajnath Singh paid homage to the military personnel who lost their lives, during ...
DHAKA, Bangladesh - Michelle Bachelet has urged the Bangladesh government to establish an independent investigation into allegations of enforced disappearances. ...
LONDON, England: Despite a legal challenge in London's High Court in early September, the UK government is continuing to pursue ...
NEW DELHI, India: During his national day address this week, Prime Minister NarendraModi said India will seek to become a ...
LONDON, England: The cap on flight departures from London's Heathrow Airport will beextended until October 29, airport officials announced.Heathrow capped ...
BERLIN, Germany: Highlighting Berlin's increasing focus on assisting in the Indo-Pacific region amidst rising tensions with China over Taiwan, Germany ...
PARIS, France: French firefighters have stopped the spread of a "monster" wildfire in the country's southwest, allowing the reopening of ...