FPIs End Three-Day Buying Streak, Record Third Highest Single-Day Selling Of 2024

Foreign investors turned net sellers after three consecutive buying sessions, as the Russia-Ukraine conflict and US interest rate uncertainties dampened sentiment. The selling recorded on Thursday was the third largest single-day selling from foreign portfolio investors so far this year.

The FPIs offloaded stocks worth approximately Rs 11,756.25 crore, according to provisional data from the National Stock Exchange.

On the other hand, domestic institutional investors stayed net buyers for the second session in a row. The DIIs bought stocks worth Rs 8,718.3 crore.

The sharpest single-day selling by FPIs was recorded on Oct. 3, when they sold equities worth Rs 15,243.27 crore. This was preceded by the selling of Rs 12,436.22 crore on June 4.

“The escalation in the Russia-Ukraine conflict and uncertainties over the US interest rate trajectory post mixed economic data releases dented sentiment,” , Motilal Oswal Financial Services’ Siddhartha Khemka said in an emailed statement.

The FPIs have offloaded Rs 643.22 crore so far this week, while the DIIs have bought shares worth Rs 1,201.44 crore.

So far in the month of November, FPIs have sold stocks worth Rs 41,590.57 crore, whereas DIIs have mopped up stocks worth Rs 38,760.52 crore. In October, the FPIs had sold equities worth Rs 1.14 lakh crore and the DIIs bought equities worth Rs 1.07 lakh crore.

Foreign institutions have been net sellers of Rs 6,486 crore worth of Indian equities so far in 2024, according to data from the National Securities Depository Ltd., updated till the previous trading day.

The NSE Nifty 50 and BSE Sensex on Thursday ended at the lowest level since Nov. 22 as technology stocks created pressure on the market. The Indian benchmarks also witnessed steepest intraday fall in over last three weeks.

Broad weakness across Asia–Pacific markets also weighed on the Indian benchmark indices.

Barring PSU Banks, Media, and Realty, all the other sectors settled the trade in red, with IT and Auto being the major underperformers. Today's fall was limited to the main index stocks, which resulted in an outperformance by the mid and small-caps segments.