Foreign portfolio investors (FPIs) turned net buyers in the Indian stock market in November after three consecutive months of selling. A decline in the US treasury yields and softening of dollar amid rising bets that the US Federal Reserve is done with raising key interest rates have triggered foreign fund inflows into emerging markets like India.
FPI inflows into Indian equities during November stood at ₹9,001 crore, compared to over ₹39,000 crore worth of shares sold in September and October together, according to data from the National Securities Depository Ltd (NSDL). Taking into account debt, hybrid, debt-VRR, and equities, FPI inflows were at ₹24,546 crore during the month.
On 1 December, FPI inflows in Indian equities stood at ₹9,744 crore, as per NSDL data.
“FPIs have reversed their selling strategy in India. Decline in US bond yields and the resilience of the Indian market have forced the FPIs to halt their selling. During the last six days,…