Snapping their three-month buying spree, overseas investors turned net sellers in Indian markets in September due to uncertainty ahead of the US presidential polls and surging coronavirus cases.
Foreign investors withdrew ₹3,419 crore on net basis from Indian markets in September, according to depositories data. A net of ₹7,783 crore was withdrawn from equities while the debt segment saw inflows of ₹4,364 crore.
Foreign portfolio investors (FPI) adopted a cautious stance ahead of the US presidential election and renewed fears due to rising Covid-19 cases, among others, experts said.
FPIs had been net buyers in Indian markets in the three straight months to August. They had invested ₹46,532 crore in August, ₹3,301 crore in July and ₹24,053 crore in June on net basis.
“FPIs have turned cautious ahead of the US presidential election. Also, renewed fears of re-emergence and surge in coronavirus cases across countries have raised concerns