Foreign portfolio investors (FPIs) have extended their consistent purchasing trend in Indian equities, marking a fifth consecutive day of buying. On Tuesday alone, these investors acquired shares worth ₹1,290.43 crore, demonstrating their strong confidence in the market. In contrast, domestic institutional investors shifted gears, becoming net sellers after a brief buying spree, offloading equities valued at ₹885.63 crore, as per the latest provisional figures from the National Stock Exchange.
Sustained Confidence from Foreign Investors
The momentum from FPIs has been notable this month. In the previous trading session on Monday, they invested a hefty ₹1,970.17 crore into the Indian stock market. However, it’s important to note that since the beginning of April, they have also sold shares totaling ₹17,036 crore, according to data from the National Securities Depository Ltd.
- March 2023: FPIs sold equities worth ₹3,973 crore.
- February 2023: Net selling reached ₹34,574 crore.
- January 2023: A staggering ₹78,027 crore was offloaded.
Market Performance and Indices
Despite these fluctuations, India’s benchmark equity indices have shown resilience. On Tuesday, they experienced their best performance in nearly a month, largely driven by significant gains in the financial services sector. The NSE Nifty 50 index rose by 41.70 points, or 0.17%, closing at 24,167.25. Meanwhile, the BSE Sensex increased by 187.09 points, or 0.24%, finishing at 79,595.59.
Year-to-Date Overview
As of 2025, FPIs have net sold equities amounting to ₹1.33 lakh crore, reflecting the volatile nature of foreign investments in the Indian market. This recent surge in buying activity could indicate a shift in sentiment, as foreign investors seem to regain confidence amidst domestic market fluctuations.
In summary, while FPIs continue their buying spree, domestic investors are taking a step back. The market’s ability to sustain growth will depend on various factors, including global economic conditions and domestic policy changes. For those monitoring Indian equities, this trend presents both opportunities and challenges in navigating the investment landscape.
