FPIs Boost Bearish Positions as Oil Prices Soar Again
FPIs raised their bearish positions on Indian equity index futures to a record last week amid hardening global interest rates and oil prices. This indicates persisting uncertainty in stocks.
The net cumulative short position on Nifty and Bank Nifty futures increased to 290,041 contracts on Thursday before being trimmed to 288,428 contracts the next day, according to data from the National Stock Exchange (NSE).
FPIs have sold shares worth ₹20,974 crore so far this month after turning net buyers worth ₹49,831 crore in July and August. Their hopes of oil prices trending lower with a resolution to the conflict were dashed as the war expanded from the Strait of Hormuz to the Red Sea.
Oil prices rose again to $103.87 on Friday after correcting from $120 a barrel at the height of the conflict in end-March to $82.49 on 6 August.