Why FIIs sold out Indian stocks worth ₹2600 crore this month — explained
FII DII data: Despite trend reversal on Dalal Street during Friday deals, foreign institutional investors (FIIs) continued to remain net sellers on Friday last week. The FIIs sold out Indian stocks worth near ₹1500 crore on last session of the week gone by. On 27th October 2023, FIIs sold out Indian stocks to the tune of ₹10,860 crore whereas they bought shares worth ₹9,360 crore on Friday.
As per the FII DII data today, FIIs have remained net sellers in October 2023. They have sold out Indian stocks worth near ₹2,600 crore till 27th October 2023. This FIIs selling in October 2023 is highest since January 2023.
In January 2023, FIIs had sold out Indian stocks worth ₹41,464.73 crore. Yet, DIIs have provided full support to the Indian stock market as they have bought shares worth ₹23,437 crore in this month. On resons that has fueled FIIs selling on Dalal Street, Omkar Kamtekar, Research Analyst at Bonanza Portfolio said, "The heightened uncertainty surrounding the Israel – Hamas conflict made FII skittish, with reports suggesting Iran and other neighboring countries may get embroiled in this conflict.
Crude Oil prices surged in the aftermath of this war to reach near $100 per barrel, adding to the negative sentiment. Additionally, the US bond yield rose above 5 per cent for the first time since the global financial crisis of 2008 making investors pull out from risky assets to bonds and other safe-haven assets. With the Federal Reserve committed to bringing inflation down to the 2 per cent target rate, fears of there could be more interest rate hikes as the US economy continues to show resilience growing much faster than expected." Buy or sell: Sumeet Bagadia recommends three stocks to buy next week On how rising US dollar
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