Foreign institutional investors have pulled out over 5,307 crore (Rs 53.07 billion) from the stock market in the last six days, amid the Bombay Stock Exchange's benchmark index Sensex's continuous downward journey during the period.
According to the provisional data available on the Securities and Exchange Board of India Web site, FIIs on Monday made a net sale of equities worth Rs 1,356 crore (Rs 13.56 billion), for the third consecutive trading day.
Analysts believe the concerns in the global markets are behind the FII selling spree of equities in Indian market. The Sensex has lost 3,222.1 points in last six trading sessions, while FIIs have invested Rs 513.90 crore (Rs 5.139 billion) in three instances and pulled out Rs 5,821.70 crore (Rs 518.217 billion) in the other three days, resulting in a net sale of Rs 5,307.80 crore (Rs 53.078 billion). FIIs had sold shares worth over Rs 2,186 crore (Rs 21.86 billion) on January 18 along with the Sensex dropping 687 points on Friday last week.
The 30-share index Sensex on Monday witnessed a fall of 1,400 points, tumbling below the 18,000-point to close at 17,605.35. The fall for the sixth straight day today was triggered by concerns in the global investor community about a recession in the United States, the world's largest economy. Besides, domestic institutional investors were net investors in shares worth Rs 695.56 crore (Rs 6.955 billion) on Monday, provisional data available on the BSE show.
Among other categories, Non-Resident Indian entities invested in shares worth Rs 4.78 crore (Rs 478 million) and proprietors sold equities worth Rs 534.16 crore (Rs 5.341 billion). Brokers, however, invested in shares worth Rs 421.39 crore (Rs 4.213 billion) for their clients or retail investors. The Sensex ended the day at 17,605.35, a fall of 1,408.35 points or 7.41 per cent.
