Foreigners turn tail on Indian bonds, continue to buy stocks

While foreigners continue to pile into Indian equities, they’ve turned sellers of the nation's debt.

Global funds pulled a combined 89.5 billion rupees ($1.3 billion) from local sovereign and corporate bonds so far this month, according to data from the National Securities Depository Ltd. 
 

That’s a reversal from 166.4 billion rupees of purchases in March.

Elevated oil prices, a rise in U.S. Treasury yields and India’s central bank taking a less dovish path than many had expected are among the key reasons for the outflows, according to Nagaraj Kulkarni, senior Asia rates strategist at Standard Chartered Bank in Singapore.

The withdrawals