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Below the Quote on FPI-FII details from Shrikant Chouhan by Head of Equity Research, Kotak Securities

Q) The amount/reason for outflow/inflow (1st Oct to  09th Oct 2024).

FIIs turned net cash seller to the tune of Rs. 20,822.62 crores, to date in Oct’24.

Q) How is the future FPI flow expected to be?

The increase in geopolitical tensions between Israel and Iran weighed on risk assets, while crude oil rose by US$5.5/bbl to US$78/bbl. On the macro side, (1) PMI manufacturing weakened from 57.5 in August to 56.5 in September, (2) PMI services weakened from 60.9 in August to 57.7 in September, (3) central government expenditure was down 1.2% yoy in 5MFY25 and (4) GST collections growth moderated to 6.5% yoy in August 2024. FPI flows are expected to remain volatile.

Q) How are other emerging markets performing?

FPI flows to date in Oct’24 were mixed for emerging markets. Brazil, South Korea, Taiwan, and Vietnam witnessed outflows of US$295 mn, US$5,727 mn, US$2,297 mn, and US$94 mn, respectively. India, Indonesia, Malaysia, the Philippines, and Thailand witnessed inflows of US$5,944 mn, US$1,418 mn, US$110 mn, US$346 mn, and US$867 mn, respectively.

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