FPIs invests in Indian equities worth Rs 2,085 crore in first half of August

Foreign portfolio investors (FPIs)  brought around Indian equities worth Rs 2,085 crore during the first half of August catering to improvement in economic activity in the current fiscal year.

Foreign portfolio investors (FPIs)  brought around Indian equities worth Rs 2,085 crore during the first half of August catering to improvement in economic activity in the current fiscal year. According to the depositories data, overseas investors involved a net of Rs 2,085 crore between August 2-13.

During the same period, they managed to put forth a net ₹2,044 crore from the debt segment. The inflows in August can be accounted to development in economic activity in the domestic market periphery, however, concerns over the third mutant wave of COVID-19 spread globally, according to Shrikant Chouhan, executive vice president, equity technical research at the Kotak Securities.

“The small figure indicates lack of conviction on the part of FPIs, said VK Vijayakumar, the chief investment strategist at Geojit Financial Services. FPIs were sellers in financial services and IT in July,” he averred.

Since markets are at record highs with stretched valuations, some profit booking by FPIs can be expected, going forward, Vijayakumar added.

Pertaining to the growing market trends, Chouhan asserted that the latest wave in South Korea, Thailand and Taiwan continues to be negative to the note of USD 1,906 million, USD 362 million and USD 184 million, attached respectively.

FPI flows in India is expected to be volatile, given the concern pertaining to the pandemic third wave and Federal Reserve’s plans to eventually taper its asset purchases,’ Chouhan s. averred.

Source Mint Yahoo Finance
Subscribe to our newsletter
Subscribe to our newsletter
Sign up here to get the latest news delivered directly to your inbox.
You can unsubscribe at any time