Short Take: Markets Crash From FII Selling?

At JagoInvestor recently, Manish wrote a post on whether there is a stock market crash on the way. Manish quoted me:

However, not everyone agrees to this argument. “FII’s have invested around 50,000 crores in Indian markets from the point when Nifty was around 5,400 last time, which was around Aug 2010,  However FII’s have sold taken out just 15% of what they invested, and right now we are at the same levels , so still lot of FII’s money is lying around.

So, the biggest reason for the fall is the fear of rising inflation and interest rates and the way it will affect our markets and economy in coming days”- says Deepak Shenoy of Capitalmind.in .

I thought I would clarify - and perhaps the best way I know is through video at MarketVision's Short Takes. Here's a five minute short take on the subject - Is FII Selling Responsible for the Market Crash.

(5 min, video)