FPIs Revive Indian Market Momentum with Rs.53,000 Crore Investment
FPIs’ Comeback in September : Foreign Portfolio Investors (FPIs) made a significant return to Indian markets in September, ending a period of reduced activity. After consistently investing in June and July, following the stabilization of markets post-elections, FPIs had slowed their buying with the start of the fiscal year 2024-25 (FY25). However, September saw a renewed interest in Indian equities.
Investment Figures and Data
According to data from the National Securities Depository Ltd (NSDL), FPIs invested Rs.27,856 crore in Indian equities by September 13. The total net investment, including debt, hybrid, debt-VRR, and equities, reached Rs.53,007 crore. Investments in debt markets have been more modest, totaling Rs.7,525 crore so far this month.
Market Trends
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, highlighted that FPIs were active buyers in the cash market every day of the week ending September 13. This consistent buying resulted in a total investment of Rs.27,862 crore in equities for September up to the 13th.
Also read: Why Isn't the Indian Rupee Strengthening Despite a Weak US Dollar?
Outlook and Impact
The rebound in FPI investment reflects renewed confidence in the Indian market, driven by both domestic stability and favorable global conditions. This increase in investment is expected to positively impact market sentiment and liquidity in the coming months.
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