FPIs: FPIs increase bearish bets amid doubts over Fed rate call

The reduction in bullish bets from foreign investors has pushed the long-short ratio for FPIs on the Nifty to 0.38, compared to a long-term average of 1.19.

Summary

Bloomberg data showed that the 20-day moving average of net long contracts on the Nifty futures fell to a multi-month low of 40,314 in the first half of February 2023, while their net short contracts rose to 105,943 – the highest level since November 2022. Long – Maturity average of net long contracts on a 20-day rolling basis is around 69,741 lakh contracts and has been steadily declining since December 2022.

ET Intelligence Group: Overseas investors have been increasing bearish bets on Indian derivatives and selling financial stocks in the cash market of late, reflecting increasing uncertainty about the much-anticipated end of the current cycle of US Federal Reserve interest rate hikes. Data from Bloomberg showed that the 20-day moving average of net long contracts on the Nifty futures fell to a multi-month low of 40,314 in the first half of February 2023,

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https://economictimes.indiatimes.com/markets/stocks/news/fpis-up-bearish-bets-amid-fed-rate-call-doubts/articleshow/98075498.cms FPIs: FPIs increase bearish bets amid doubts over Fed rate call

Luke Plunkett

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