InvestorQ : How was the FII selling for the full month of January 2021 and do you see FPI selling continuing?
Arti Chavan made post

How was the FII selling for the full month of January 2021 and do you see FPI selling continuing?

Answer
image
Rutuja Nigam answered.
3 months ago
Follow

The last week of January may have looked disconcerting in terms of FPI selling, but the full month data is far from discouraging. Despite the heavy FII selling in the last week of January, these foreign investors continued to remain net buyers to the tune of Rs.14,649 crore in the month of January 2021 on a net basis.

For the month of January, the FPIs infused Rs.19,473 into equity markets but due to low real yields they withdrew Rs.4,824 crore from debt instruments. However, the selling in the last week was fairly brutal. FPIs sold close to Rs.13,000 crore in the last week of January with Rs.5,900 crore of equities sold on a single day on Friday itself.

Let us look at it positively. Had it not been for the last week, January could have actually been an impressive month. It is true that it did not have the same momentum as November and December last year. Sensex at 50,000 actually proved to be a mental and psychological resistance forcing sceptical foreign investors to lighten their long positions ahead of the Union Budget announcement in India.

0 Views