FPIs pull out Rs 4,375 cr in May so far

Foreign investors have pulled out a net amount of Rs 4,375 crore from the Indian capital markets in May so far, driven by global and domestic factors.

Prior to this, overseas investors had infused a net amount of Rs 16,093 crore in April, Rs 45,981 crore in March and Rs 11,182 crore in February in the capital markets (both equity and debt).

According to the latest depositories data, foreign portfolio investors (FPIs) withdrew a net sum of Rs 2,048 crore from equities and Rs 2,309.86 crore from the debt market during May 2-24, taking the total net outflow to Rs 4,375.86 crore.

"However, it is noteworthy that foreign investors pumped in money on the day of election results as the mandate became clear," said Vidya Bala, Head - Mutual Funds Research at FundsIndia.

FPIs invested a net Rs 1,352.20 crore in equities on May 23, when the ruling BJP scored a thumping victory in the general elections.

"While FPIs may remain cautiously optimistic on what the government will deliver in a second ...