Bearish bond market signals

So far, Indian equity investors have ignored this. But there could be some impact with a lag

Since January 2018, foreign portfolio investors (FPIs) have invested a net Rs 85 billion in rupee equity and sold a net Rs 108 billion in rupee debt. In April, which was the start of a new fiscal, they sold Rs 55 billion of equity and Rs 100 billion of debt.

The April numbers have skewed the data downwards. Between January-March 2018, the FPI attitude was net positive with net equity buying of Rs 139 billion and net debt sales of Rs 8 billion. The Nifty was up over 6 percent in April despite the FPI sales.  Domestic Institutions bought Rs