FPI selling nears $6 billion in 2022 as interest rate hikes loom

Worst start to a calendar year in terms of outflows

This is the worst start to a year when it comes to sell-off from foreign portfolio investors (FPIs).

After a brief respite at the year’s start, FPIs have dumped shares worth more than $5.7 billion (Rs 42,596 crore), taking the cumulative net outflows since October to $10.5 billion (Rs 78,466 crore), and adding to the volatility on the bourses. The figure would have been a lot worse had it not been for net purchases to the tune of $5.7 billion in the primary market from October to date.

“FPIs seem to be gearing up for a number of eventualities,” said U R