FPIs Sell Shares Worth Rs 1,700 Crore In 4 Sessions

Foreign investors have pulled out close to Rs 1,700 crore from Indian stock markets in the last four trading sessions amid global weakness triggered by a renewed slide in crude prices.

This comes following a record net inflow of over Rs 40,000 crore in the last three months (February-April) on several factors, including expectations that the Bharatiya Janata Party's victory in recently held assembly polls will accelerate the pace of reforms.

Foreign portfolio investors (FPIs) had pulled out over Rs 1,100 crore from equities in January.

According to depository data, FPIs withdrew a net sum of Rs 1,680 crore from equity markets during May 2-5.

However, they pumped in Rs 1,177 crore in the debt segment during the period under review.

Drop in crude and fresh fall in commodities, including base metals, has sparked concerns about the health of the global economy, market experts said.

Oil prices touched a five-month low of $43.76 a barrel on Friday.

“Investor sentiments took a hit following a sharp plunge in oil,” said Anand James, Chief Market Strategist, Geojit Financial Services.

So far in 2017, total fund mobilisation in equities stands at Rs 40,345 crore.