Foreign Institutional Investors continued their selling spree in the Indian markets, after a little shopping on Wednesday. FIIs were net sellers to the tune of Rs 995 crore in the cash markets today, provisional data from exchanges showed. The Sensex and Nifty ended broadly in the red on aggressive selling after Janet Yellen’s hawkish comments spooked markets across the globe. The Sensex ended lower by 289 points at 57,925, while the Nifty today ended lower at 17,076, down 75 points or 0.4%. The Nifty Bank today ended at 39,616, down by 382 points or almost 1%.
However, so far in March, FIIs have been net buyers in the cash markets to the tune of Rs 1,474 crore. DIIs on Thursday were net buyers in the cash market to the tune of Rs 1,668 crore, provisional data from exchanges showed. So far this month, DIIs have remained net buyers of Indian equities, lapping up shares above Rs 23,000 crore.
According to market watchers, the markets currently look oversold and a bounce back is unlikely on the cards, given the volatile global conditions. The Nifty continues to face strong hurdles on upper levels. FIIs, too, currently hold over 92% shorts in Index futures. “We expect Indian markets to remain range bound due to lack of triggers. Global environment continues to remain volatile. FIIs too have been consistent sellers for last few days, which could keep the market under pressure,” said Siddhartha Khemka of Motilal Oswal Financial Services.