Foreign investors sell Rs268 crore worth of Indian stocks

Overseas investors sold a net Rs268 crore ($60 million) of Indian stocks yesterday, taking their total withdrawals from equities this year to Rs2,410 crore ($536.75 million), according to the market regulator.

Foreigners purchased Rs18.4 billion of shares and sold Rs21.1 billion, according to the Securities and Exchange Board of India (SEBI). They sold Rs565 crore worth of bonds, cutting their debt purchases this year to Rs14,350 crore.

In 2010, overseas investors bought a record Rs1.33 trillion shares, helping power a 17 per cent rally in the Bombay Stock Exchange's Sensitive Index, making it the best performer among the world's 10 biggest equity markets last year. The Sensex has taken a 13.6 per cent fall this year.

The earlier record was set in 2009 when flows of Rs83420 crore were recorded, which triggered the biggest advance in 18 years. Funds pulled out a record Rs53,000 crore from stocks in 2008, which triggered the worst annual slump.

Foreign funds have invested Rs4,44,700 crore in equities and Rs93,020 crore in bonds since they were allowed entry in 1993.

The regulator provides data on shares bought and sold by large investors, including primary and secondary markets trades, delayed by at least a day.