FPI Investors: FPI investors’ confidence in the Indian market has increased significantly after the continuous sell-off by foreign investors. Foreign investors continued their positive outlook on equities amid softening dollar index. In the first week of August, more than 14,000 crores have been invested. Earlier in July also, foreign investors had made good purchases.
5000 crores invested in July
According to depository data, foreign portfolio investors (FPIs) made a net investment of around Rs 5,000 crore in July. In this way, the total investment of FPIs in the first week of April was more than the entire investment in the month of July.
Buying in July after 9 consecutive months
FPIs made net purchases in July after nine consecutive months of net withdrawals. Prior to this, he had been a continuous net sell since October last year. Between October 2021 and June 2022, he had sold a whopping Rs 2.46 lakh crore in the Indian equity markets.
Know what is the opinion of experts?
Hitesh Jain, principal analyst, institutional equities, Yes Securities, said FPI inflows are expected to be positive during August, as the worst-case scenario for the rupee is over and crude oil is also in a narrow range. Due to the change in FPI strategy, there was a strong rally in the market recently.
Invested in loan market
FPIs are investing in sectors like capital goods, FMCG, construction and power. Apart from this, FPIs made a net investment of Rs 230 crore in the loan market during the period under review.