
FPIs' selling spree continues in November at ₹21,612 crore
The Hindu
Foreign investors withdrew $2.56 billion from Indian equity market in November due to various economic factors.
Foreign investors pulled out ₹21,612 crore ($2.56 billion) from the Indian equity market in November, mainly owing to the rising U.S. bond yields, strengthening dollar and expectation of a slowdown in the domestic economy.
While the sell-off continues, the quantum of net outflow significantly reduced compared to October, when FPIs recorded a massive withdrawal of ₹94,017 crore ($11.2 billion). With the latest pull out, Foreign Portfolio Investors (FPIs) have experienced total net outflow of ₹15,019 crore in 2024 so far.
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“Looking ahead, the flow of foreign investments into Indian equity markets will hinge on several key factors. These include the policies implemented under Donald Trump’s Presidency, the prevailing inflation and interest rate environment, and the evolving geopolitical landscape,” Himanshu Srivastava, Associate Director Manager Research, Morningstar Investment Research India, said.
“Additionally, the third-quarter earnings performance of Indian companies and the country’s progress on the economic growth front will play a crucial role in shaping investor sentiment and influencing foreign inflows,” he added.
According to the data, FPIs recorded a net outflow of ₹21,612 crore in November. This came following a net withdrawal of ₹94,017 crore in October, which was the worst monthly outflow.
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