Reported 9 months ago
Foreign short positions in Indian stocks remain high following Prime Minister Narendra Modi's election win, with global funds showing caution through net short positions on index-future and put options contracts, implying expectations for equities to decline further. Modi's loss of parliamentary majority has raised concerns about economic reforms and policy continuity, along with high valuations, prompting overseas investors to reassess local share prospects. Despite this, Indian stocks have recovered partially with support from local investors, while foreign funds have sold around $3 billion in shares since the election.
Source: YAHOO