Sensex nears nine-month high as FPI inflows hit record November level
Foreign portfolio investors have pumped over Rs 73,200 crore into Indian equities during eight trading sessions in November, according to the Times of India.
Foreign portfolio investors (FPIs) have invested a net amount of over Rs 73,200 crore into Indian equities during eight trading sessions in November, according to the Times of India. This figure surpasses the previous monthly record of Rs 66,135 crore set in December 2023, based on data from NSDL and BSE.
On Wednesday, FPIs net bought stocks worth Rs 12,563 crore. This inflow, alongside a 21 per cent drop in crude prices this month, helped the Sensex gain 773 points, or 1 per cent, to close at 81,879, a level near a nine-month high.
In November so far, the Sensex has gained approximately 7,400 points, or 10 per cent, across eight sessions. BSE data showed that investors' wealth has increased by Rs 36 lakh crore to reach a high of Rs 510.7 lakh crore. During the same period, the Nifty gained 9.7 per cent to close at 25,255 points on Wednesday.
Market players stated that several factors have acted as tailwinds for the indices over the last two weeks. Brokers and analysts noted that the trend of foreign fund managers moving money from India to AI-related stocks elsewhere is reversing.
Siddhartha Khemka, head of research - wealth management at Motilal Oswal Financial Services, said Indian equities are likely to keep their positive momentum. He stated that Q2FY27 earnings are coming in ahead of expectations, which is strengthening confidence in corporate earnings recovery.
Other contributing factors include the recent US midterm poll results, which helped cool crude prices and lower global inflation expectations. Additionally, the rupee has strengthened by 1.3 per cent this month to 93.7 against the dollar, and corporate results for the July-Sept quarter helped improve sentiment.