Stock market continues to fall sharply
Stock Market India- The Indian stock market has been declining for the last one month. The main reason behind this is being told to the selling of FIIs i.e. FIIs-Foreign Institutional Investors. Experts say that this selling phase may continue in the next month as well. However, FIIs are expected to return in the new year.
Let us tell you that on October 19, the Sensex touched the highest level of 62261. Since then, the downward trend in the market continues. It has come down to the level of 58680. During this, the Sensex has fallen by 3581 points.
Foreign investors withdrew 87 thousand crore rupees from the Indian stock market
According to the information given on SEBI’s website, foreign investors have sold Rs 17,900 crore in November. At the same time, from the current financial year i.e. April 1 till now, Rs 87000 crore has been withdrawn from the Indian stock market. At the same time, domestic investors have made purchases of Rs 13000 crore in November. Whereas, in this financial year, shares worth Rs 69000 crore have been bought.
why did this happen
Experts associated with the stock market told NewsNCR Digital that America is the main reason for foreign investors withdrawing money from India. He told that the US Central Bank Federal Reserve had given a relief package to revive the economy from Corona. Under this package, the common people got the money directly. At that time many more steps were taken for the economy.
Now there is a preparation to take back those relief steps. One of these is the decision on the interest rate. Next month the US Central Bank Federal Reserve may raise interest rates. In such a situation, the Indian market will not be much beneficial for investing money.
The US dollar will rise. This will increase the weakness in the rupee. That’s why investors are again returning to the US markets. The benchmark US 10-year Treasury yield rose sharply, narrowing the yield gap between the US and India.
What should Indian investors do now?
Asif Iqbal, Head of Research, Escort Security, told NewsNCR Digital that this is a good buying opportunity for small investors. Because the economic growth of the country is back on track. It is expected to get better in the coming days. Therefore, investing money in the shares of banking and financial companies would be the right decision.
Which countries people invest money in Indian stock market
The US has a 34 per cent stake in foreign investors investing in India. It was followed by Mauritius (11 percent), Singapore (8.8 percent), Luxembourg (8.6 percent), Britain (5.3 percent), Ireland (4 percent), Canada (3.4 percent), Japan (2.8 percent) and Norway and the Netherlands (2.4 percent). ) comes.
These 10 countries account for 83 per cent of Indian FPI investments. In terms of equity investment, the US has 37 per cent, followed by Mauritius with 11 per cent. Singapore (29 per cent) tops debt investment and Luxembourg (11 per cent) is at number two.
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