Markets set to witness biggest May decline since 2012 amid FPI sell-off

The Indian markets look set to witness their biggest May decline since 2012 amid relentless selling by foreign portfolio investors (FPIs). 

So far this month, the benchmark Sensex and the Nifty indices are down 5 per cent, while the broader market Nifty Midcap 100 and Nifty Smallcap 100 are down 8.5 per cent and 15 per cent, respectively. 

Taking the 'sell-in-May' mantra seriously, FPIs have dumped shares worth around Rs 40,000 crore (over $5 billion) this month. 

Monetary tightening by global central banks, soaring inflation, and rising bond yields have taken the wind out of the sails for risky assets