In April, the Indian stock market has seen a positive influx of investments from foreign portfolio investors (FPIs), marking a notable trend. For the 11th consecutive session, these overseas investors have been net buyers, acquiring shares valued at Rs 50.57 crore on Wednesday alone. This comes as domestic institutional investors also joined the buying spree, purchasing equities worth Rs 1,792.15 crore over the last four days, according to data from the National Stock Exchange (NSE).
Strong FPI Activity in April
So far this month, FPIs have injected a total of Rs 4,223 crore into Indian equities, reflecting a significant turnaround from their selling activities in previous months. In contrast, March saw these investors offload shares worth Rs 3,973 crore, following a staggering Rs 34,574 crore in net selling during February. January was particularly challenging, with FPIs net selling equities totaling Rs 78,027 crore.
- April 2023: Net purchases of Rs 4,223 crore
- March 2023: Net sales of Rs 3,973 crore
- February 2023: Net sales of Rs 34,574 crore
- January 2023: Net sales of Rs 78,027 crore
Market Performance Amid FPI Buying
Despite the positive buying momentum, the benchmark equity indices faced a slight pullback on Wednesday, snapping a two-day winning streak. The NSE Nifty 50 closed at 24,334.20, down by 1.75 points or 0.01%, while the BSE Sensex finished at 80,242.24, a decline of 46.14 points or 0.06%. During intraday trading, the Nifty 50 had dipped as much as 0.56% to 24,198.75, and the Sensex fell by 0.51% to 79,879.15.
Overall Trends and Outlook
In 2023, FPIs have experienced a challenging year, with net sales amounting to Rs 1.12 lakh crore thus far, as indicated by the National Securities Depository Ltd. (NSDL) data. This ongoing fluctuation highlights the dynamic nature of the Indian equity market and its responsiveness to both domestic and international investment trends.
As the market prepares for upcoming trading sessions, investor sentiment remains closely tied to global economic conditions and domestic policy changes. Investors and analysts alike will be keeping a watchful eye on how these trends evolve throughout the month.
For more insights on market performance and investment strategies, check out our other articles on stock market trends and analysis.
