FIIs withdrew 20000 crore in five sessions, heavy selling in banking-FMCG-Auto and oil-gas shares

New Delhi| Foreign institutional investors (FIIs) are continuously selling from the Indian stock market. They have withdrawn 19,994 crore in five trading sessions this month. In October, these investors had sold shares worth a record 94,017 crore.

According to the data, FIIs have sold shares worth a net 13,401 crore since January in calendar year 2024. There has been a net selling of 24,295 crore in the current financial year since April. The direct effect of this was that Nifty fell by more than six percent in October. This was the biggest decline in any one month in the last four and a half years. Sensex fell 238 points in five sessions of this month due to selling. The market capitalization of companies also declined by Rs 3.75 lakh crore.

Withdrawal of maximum 26,139 crore from banking shares
Foreign investors have sold the highest number of shares of banking companies worth Rs 26,139 crore in October. After this there was selling of shares of oil, gas, FMCG and auto sectors. There have been withdrawals of Rs 21,444 crore from the oil and gas sector. Rs 11,582 crore has been withdrawn from FMCG and Rs 10,440 crore from the auto sector.

Share decreased in these areas including IT also
FIIs also reduced their stake in sectors like consumer services, IT, power, realty and telecom. Analysts believe that this is the effect of declining earnings of the American economy and Indian corporates. Besides, China’s encouragement also has an impact. However, domestic investors are constantly buying in financial stocks. Foreign institutional investors had bought shares worth a net Rs 57,723 crore in the domestic market in September.