New Delhi, Jan 14 (PTI) Foreign investors have pumped inover Rs 5,200 crore in the Indian capital markets this monthso far on anticipation of recovery in corporate earnings andattractive yields.
This follows an investment of Rs 2 lakh crore in thecapital markets (equity and debt) in the entire 2017.
Market experts, however, believe foreign portfolioinvestors (FPIs) may not be able to repeat this showing in2018 as withdrawal of liquidity and rate hikes in developedeconomies pick up.
According to the depositories data, FPIs put in a netamount of Rs 2,172 crore in equities and Rs 3,080 crore in thedebt markets during January 1-12 -- translating into a netinflow of Rs 5,252 crore.
"The inflow in current month can be attributed toanticipation of earnings recovery and attractive yields whichis expected to further strengthen inflow from foreigninvestors in current financial year," said Dinesh Rohira, CEOof 5nance.
Morningstar India's Senior Analyst Manager (Research)Himanshu Srivastava said: "Given 2019 would not be far, theexpectation of some other economic reforms from the governmentwould be high. But the major for FPIs going ahead would be tosee growth coming back in the domestic economy, which has notyet picked up contrary to the expectation". PTI SPABM.
This is unedited, unformatted feed from the Press Trust of India wire.