HDFC Bank-led FPI selloff: The fifth-highest weekly exit since 2008

The hardening of US Treasury yields also weighed on sentiment and raised concerns about whether the Federal Reserve would lower interest rates at the same pace as the Street has priced

Foreign portfolio investors (FPIs) sold shares worth Rs 20,170 crore ($2.4 billion) last week. This marked the fifth-highest weekly outflow from overseas funds since the beginning of 2008 and the largest since the last week of March 2020.

Due to the Covid scare, FPIs had sold shares worth Rs 21,951 crore during that week, causing the market to decline by nearly 20 per cent.

The previous week’s pullout was mainly due to selling in HDFC Bank, a stock with one of the highest FPI exposures on an absolute basis. Foreign investors sold HDFC Bank’s stock following disappointing quarterly results by