Selling spree
Foreign investors have been massively selling Indian equities, with the selloff intensifying from the second half of September onwards, adding fuel to the fall in the Indian stock market amid rising oil prices, soaring bond yields and other factors. Latest fortnightly data from the National Securities Depository Limited (NSDL) show FIIs net sold Rs 35,861 crore across Indian equities during the month. Here are the sectors which saw the sharpest net selling by foreign investors between September 16 and September 30.
Financial services (Rs 6,943 crore)
Financial services saw the sharpest FII selloff in the second half of September, as foreign investors pulled out Rs 6,943 crore from the stocks. In the first half of the month, they net sold financial services shares worth Rs 6,204 crore. The sector saw the sharpest FII selloff among all sectors in September.
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Oil, gas and consumable fuels (Rs 4,469 crore)
As the Middle East conflict escalated, oil prices jumped and FIIs net sold oil, gas and consumable fuel shares worth Rs 4,469 crore in the second half of September. The selloff intensified in the second half, after FIIs net sold oil and gas shares worth Rs 2,385 crore in the first half of September.
Automobile and auto components (Rs 3,542 crore)
Automobile and auto component-makers also saw FIIs sharply sell their shares. Foreign investors net sold shares worth Rs 3,542 crore during the period. This comes after they net sold shares worth Rs 2,670 crore in the first half of September.
Telecommunication (Rs 2,423 crore)
FIIs sold telecom stocks worth Rs 2,423 crore between September 16 and September 30. This is more than double the Rs 991 crore shares FIIs sold in the first half of last month.
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Metals and mining (Rs 2,322 crore)
FII selloff intensified in the metals and mining space in the second half of the month, as they sold shares worth Rs 2,322 crore between September 16 and September 30. This comes after FIIs offloaded metals and mining stocks worth Rs 991 crore in the first half of the month.
Consumer durables (Rs 1,508 crore)
Consumer durables stocks saw Rs 1,508 crore FII outflows during the second half of September. The selloff in this segment too intensified, as foreign investors net sold shares worth Rs 397 crore in the first half of the month
Capital Goods (Rs 1,353 crore)
FII sold capital goods stocks worth Rs 1,353 crore in the period between September 16 and September 30. In the first half of the month, they had net sold shares worth Rs 108 crore.
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Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.
