FPIs pull out ₹13,741cr from Indian market this week
What's the story
Foreign portfolio investors (FPIs) have continued their selling spree in the Indian market for the fourth consecutive week. They withdrew a net amount of ₹13,740.89 crore during the week ending May 15, according to data from National Securities Depository Limited (NSDL). The outflow was broad-based with equities taking the biggest hit despite a late-week recovery on Friday.
Performance
Net outflows surge to ₹7,546cr on Tuesday
The week started on a cautious note with FPIs recording a net outflow of ₹1,131.77 crore across all segments on May 11. However, Tuesday witnessed the steepest single-day selloff of the week as net outflows surged to ₹7,545.99 crore.
Market recovery
Recovery on Wednesday was short-lived
On May 13, FPIs turned net buyers with an inflow of ₹346.37 crore, the only positive session of the week. However, this recovery was short-lived as Thursday saw net outflows climb back to ₹3,579.50 crore. The week ended on a mixed note with total net outflow closing at ₹1,830 crore despite equities finally posting a net inflow of ₹1,111.53 crore on Friday's session.
Market trends
Equities the biggest drag on overall FPI flows
Throughout the week, equities witnessed a net outflow of ₹12,817.11 crore, the biggest drag on overall FPI flows. The debt segment also added to the pressure with Debt-VRR witnessing a sharp net outflow of ₹1,482.33 crore on Friday alone. Dr. V K Vijayakumar from Geojit Investments said FPIs sold equity worth ₹27,177 crore through secondary markets till May 16 this year.