FPIs sell Rs 21,745 crore in second half of Sep, in oil & gas, auto & financials
Foreign portfolio investors experienced a significant increase in selling Indian equities during the latter half of September. Financial stocks led the sell-off, with the highest outflows totaling around ₹6,943 crore. Oil and gas and auto sectors experienced notable selling, reflecting profit-taking and portfolio rebalancing. Telecom stocks faced profit-taking ahead of the upcoming Jio Platforms…
Mumbai: During the second half of September, foreign portfolio investors (FPIs) in Indian equities sold a total of ₹21,745 crore, primarily targeting financial, oil & gas, auto, telecom, and metal stocks. FPI outflows in September 16-30 surpassed the first half's ₹14,116 crore by more than ₹7,600 crore. Financial stocks experienced the steepest decline, with investors offloading around ₹6,943 crore worth of these stocks, up from ₹6,204 crore in the initial half.
Oil & gas stocks also saw a significant sell-off, totalling ₹4,469 crore, while auto stocks followed suit with a ₹3,542 crore outflow, compared to ₹2,385 crore and ₹2,670 crore in the first half, respectively. Vishad Turakhia, CEO of Equirus Securities, attributed the selling to portfolio rebalancing, profit-taking, and a heightened emphasis on valuations in relation to earnings growth.
Financial institutions typically witness substantial selling when overseas investors reduce their exposure to India. Other sectors impacted by FPI selling included telecom, metal, consumer durables, and capital goods, with telecom stocks experiencing some profit-taking following a substantial rerating. Analysts speculate that the upcoming Jio Platforms IPO may have influenced FPI positioning in the telecom sector, as investors potentially reduced exposure to Bharti Airtel to invest in Jio.
Written by urgent.news from The Economic Times - Top News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
