Foreign institutional investors (FIIs) pumped Rs 45,960 crore into the Indian stock market this week, marking a significant turnaround in investment trends after a prolonged selling phase.
Foreign investors remained net buyers across all five trading sessions, extending their buying streak to a second consecutive week after 10 weeks of sustained outflows.
The latest inflows were enough to recover the Rs 45,162 crore withdrawn by foreign investors in October.
Domestic institutional investors (DIIs), however, moved in the opposite direction, turning net sellers of Rs 24,197 crore after purchasing equities for 11 consecutive weeks. They sold shares across all five sessions, booking profits amid the sharp market rally.
According to Pabitro Mukherjee, Deputy Vice President-Research at Bajaj Broking, net institutional buying of Rs 21,764 crore supported the market’s upward movement. Buying activity intensified on Thursday and Friday, when FIIs invested Rs 28,724 crore, while DIIs sold shares worth Rs 16,413 crore.
The benchmark equity indices extended their winning streak to seven consecutive trading sessions on Friday, marking their longest such run in three years. Strong buying in major banking stocks and select companies reporting encouraging earnings lifted investor sentiment.
The BSE Sensex surged 1,718.01 points, or 2.17 per cent, to close at 81,028.02. Meanwhile, the NSE Nifty 50 advanced 493.75 points, or 2.01 per cent, to settle at 25,030.35.
Benchmark indices gained over 8.5 per cent this week, supported by foreign inflows, strong earnings, easing geopolitical tensions and falling crude oil prices.
Buying remained broad-based across sectors, while analysts said sustained FII inflows would be crucial as domestic investors booked profits.
The new Samvat year begins with a holiday-shortened week, starting with Sunday’s Muhurat trading session.
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