Business Standard

FIIs pull out Rs 435 cr from stocks in May so far

Depreciating rupee, high fiscal deficit and the current account deficit are the reasons

Related News

After pulling out over Rs 1,100 crore from the Indian equity market in last month, have withdrawn funds to the tune of Rs 435 crore in May so far.

During May 2-25, Foreign Institutional Investors (FIIs) made gross purchase of equities worth Rs 36,228 crore and sold shares valued at Rs 36,663 crore translating into a net outflow of Rs 435 crore, according to data available with the market regulator Sebi.

Market experts attributed the outflow to a slew of reasons such as depreciating rupee, high and the as well as lack of reform momentum.

"Foreign investors are staying away from the Indian equity market, despite an attractive valuation, mainly on account of weakness in rupee, which is hovering around the Rs 56-level against US dollar," a broker said.

Last month, FIIs pulled out Rs 1,109 crore from the stock market amid S&P lowering India's to negative from stable.

In May so far, while foreign investors took out a total of Rs 435 crore from stocks, they seem to be bullish on the debt market. This is because FIIs poured in Rs 1,660 crore taking the collective net investment into stocks and bonds to Rs 1,225 crore during the period.

BSE benchmark Sensex has lost around six per cent so far this month to close at 16,217.82 points on Friday.

After taking the latest withdrawals into account, FIIs have made an investment of Rs 42,407 crore into the equity market so far this year and Rs 17,270.40 crore into the debt market during the same period.

However, in the first three months of 2012, had invested a record Rs 43,951 crore. Of this, Rs 10,358 crore was poured in January, Rs 25,212 crore in February and the rest Rs 8,381 crore in March.

The strong FII inflows in January-March period was attributed by market participants to the Reserve Bank of India's (RBI) pause in rate hikes and the improving liquidity position.

As on May 25, the number of registered FIIs in the country stood at 1,754 and total number of sub-accounts were 6,335 during the same period.

Read more on:   
|
|
|
|
|
|

FIIs pull out Rs 435 cr from stocks in May so far

Depreciating rupee, high fiscal deficit and the current account deficit are the reasons

After pulling out over Rs 1,100 crore from the Indian equity market in last month, overseas investors have withdrawn funds to the tune of Rs 435 crore in May so far.

After pulling out over Rs 1,100 crore from the Indian equity market in last month, have withdrawn funds to the tune of Rs 435 crore in May so far.

During May 2-25, Foreign Institutional Investors (FIIs) made gross purchase of equities worth Rs 36,228 crore and sold shares valued at Rs 36,663 crore translating into a net outflow of Rs 435 crore, according to data available with the market regulator Sebi.

Market experts attributed the outflow to a slew of reasons such as depreciating rupee, high and the as well as lack of reform momentum.

"Foreign investors are staying away from the Indian equity market, despite an attractive valuation, mainly on account of weakness in rupee, which is hovering around the Rs 56-level against US dollar," a broker said.

Last month, FIIs pulled out Rs 1,109 crore from the stock market amid S&P lowering India's to negative from stable.

In May so far, while foreign investors took out a total of Rs 435 crore from stocks, they seem to be bullish on the debt market. This is because FIIs poured in Rs 1,660 crore taking the collective net investment into stocks and bonds to Rs 1,225 crore during the period.

BSE benchmark Sensex has lost around six per cent so far this month to close at 16,217.82 points on Friday.

After taking the latest withdrawals into account, FIIs have made an investment of Rs 42,407 crore into the equity market so far this year and Rs 17,270.40 crore into the debt market during the same period.

However, in the first three months of 2012, had invested a record Rs 43,951 crore. Of this, Rs 10,358 crore was poured in January, Rs 25,212 crore in February and the rest Rs 8,381 crore in March.

The strong FII inflows in January-March period was attributed by market participants to the Reserve Bank of India's (RBI) pause in rate hikes and the improving liquidity position.

As on May 25, the number of registered FIIs in the country stood at 1,754 and total number of sub-accounts were 6,335 during the same period.

image

Read More

Agri Min proposes Rs 170/quintal hike in paddy MSP

In view of rising farm input costs, the Agriculture Ministry has proposed a Rs 170 per quintal increase in the minimum support price (MSP) of paddy ...

Recommended for you

Advertisements

Quick Links

Market News

Nifty holds 8450; SBI ends 2.4% lower post results

Sensex ends 148 points higher at 27,957. HDFC, ONGC, TCS gain

Sensex ends above 27,900 amid volatile session

Provisionally, the Sensex gained 134.71 points to end at 27,944.06 and the Nifty rose 27.80 points to close at 8,448.80

Sangam (India) zooms over 50% in four days on stake hike by promoter

The stock is currently trading at its record high of Rs 125 and has rallied 54% from Rs 81 on May 19.

Sagar Cements surges after turnaround in Q4

The stock surged 16% to Rs 408 after reported net profit of Rs 21.70 crore in March quarter against loss of Rs 11.36 crore in the year ago ...

SBI pares early gains post Q4 results

The stock surged 5% to Rs 305 after reported 23% year on year jump in standalone net profit at Rs 3,742 crore in March quarter.

 

Back to Top