FPIs end five-month buying streak by selling FAR bonds in September
In short
Foreign investors sold FAR government bonds in September, ending five straight months of buying. The report says high crude prices and firm US yields hurt sentiment.
This matters because foreign selling can pressure bond prices and funding conditions. The reporting does not give the size of the selling or say if the trend has already changed again.
What the reporting says
Foreign investors turned net sellers of FAR government bonds in September, ending a five-month buying streak, according to the market summary. The reporting says high crude prices and firm US yields weighed on sentiment. The immediate consequence is weaker foreign demand for these bonds; the report does not state the amount sold or whether the flow reversed again afterward.
Why it matters
Foreign portfolio investors turned net sellers of FAR government bonds in September, ending a five-month buying streak. The market summary links the selloff to high crude prices and firm US yields. The report does not give a rupee amount or say whether the selling continued beyond September, but it points to softer foreign demand in the government bond market.