FPIs buy shares worth `31,630 cr in November

New Delhi: Foreign portfolio investors have rediscovered their liking for Indian equities, making a net investment of Rs 31,630 crore in November on hopes of an end to the aggressive rate hikes, and positivity about overall macroeconomic trends.

According to experts, after remaining net sellers in August and September, Foreign Portfolio Investors (FPIs) are unlikely to be major sellers going forward.

Rising expectations of aggressive rate hike cycles nearing an end on relatively easing inflationary curve, better than expected US macroeconomics data and resilience of the Indian economy compared to global counterparts are also driving FPI inflows.

According to data available with the depositories, FPIs invested a net sum of Rs 31,630 crore in equities during November 1-25. In comparison, there was a net outflow of Rs 8 crore and Rs 7,624 crore in October and September, respectively.

In August, FPIs were net buyers to the tune of 51,200 crore and they purchased equities worth nearly Rs 5,000 crore in July.

Prior to this positive trend, FPIs remained net sellers for nine straight months starting October 2021 amid a continuous rise in the dollar.