Foreign selling of India's debt hits six-month high
after close1 source ↓written by the desknot a recommendation
- bonds is below
- 3.5%
Foreign investors net sold over ₹54.3 billion (nearly $600 million) of India's global index-linked bonds last week, marking the worst selloff since May 30. This cautious stance comes amid fading rate-cut expectations and a weakening rupee. Despite this, funds remain bullish on the Indian market, as foreign ownership of bonds is below 3.5%.
• Heavy bond supply and reduced foreign positions may impact local currency stability.
• Sustained inflows are crucial for improving chances of global index inclusion.
Not investment advice. For informational purposes only.