India Forex Reserves Extend Decline 📉
The article discusses the decline in India's foreign exchange reserves held by the Reserve Bank of India, which fell to $653 billion in the second week of December, the lowest since June, due to an outflow of foreign capital as slowing growth in India drove investors to opt out of investments in domestic capital markets.
The article indicates a significant outflow of foreign capital from India's domestic capital markets, which is likely to have a negative impact on the investment portfolio. The decline in foreign exchange reserves and the pullback on the Sensex suggest a weakening of the Indian economy, which could adversely affect the performance of the portfolio's long positions in the S&P 500, European market, and other Indian-related investments.