FIIs pull out ₹1,547 cr as Sensex and Nifty 50 tumble by 1.5% each; DIIs offset some losses
2 min read . Updated: 13 Mar 2023, 09:54 PM IST
Premium- As per NSE data, FIIs buying value stood at ₹10,135.27 crore on the Indian market on Monday, while the selling value came in at ₹11,682.13 crore. Hence, FIIs sold ₹1,546.86 crore on NSE, BSE, and MSEI.
Foreign institutional investors (FIIs) extended their selling bias on Indian market jitters on Monday due to weak global cues after the Silicon Valley Bank collapse jolted investors. FIIs are net sellers for three days in a row. However, domestic institutional investors (DIIs) continued to offset some losses by infusing money into the market.
As per NSE data, FIIs buying value stood at ₹10,135.27 crore on the Indian market on Monday, while the selling value came in at ₹11,682.13 crore. Hence, FIIs sold ₹1,546.86 crore on NSE, BSE, and MSEI.
On the other hand, DIIs bought ₹7,476.55 crore and sold ₹6,057.97 crore -- resulting in an overall inflow of ₹1,418.58 crore during the day.
On Monday, Sensex closed at 58,237.85 down by 897.28 points or 1.52%. While Nifty 50 plunged by 258.60 points or 1.49% to end at 17,154.30. India's volatility index skyrocketed by nearly 21%, making it the largest single-day upside in a year.
Currently, markets are jittering after the California department announced the closure of the largest tech and startup lender Silicon Valley Bank last week. Soon after, another US-based lender Signature Bank was shut down by the New York department. Also, one of the biggest lenders in the crypto market, Silvergate Capital has announced to liquidate of its subsidiary Silvergate Bank.
The back-to-back shutdown in US banks has soured risk appetite as investors try to gauge their impact on the sector, economic wide and others.
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities said, "Downward spiral continued in a highly volatile charged trading session due to weakness in the
US and European markets. Investors once again exited financial stocks on worries that the collapse of US-based SVB could worsen the overall mood already reeling under rising interest rates and slowing global growth. The market broke all-important support levels and closed below the 17250 level, which is negative."
However, Chouhan added, "on the downside, the Nifty has major support between 17000 and 16900. On the upside, the index will find resistance at 17250 and 17450 levels. Investors can use the strategy to sell at 17350 and 17400 with a stop loss at 17450. On the other hand, traders can buy between 17000 and 16900 levels with a stop loss at 16800."
Last week, FIIs bought ₹1,769.68 crore in Indian equities, while DIIs inflow stood at ₹1,211.97 crore.