Foreign investors remained net buyers in the domestic capital markets in June, pouring in a total of Rs 11,132 crore on a net basis this month so far, according to depositories’ data.
The inflows in the debt category remained strong and steady driven by positive market sentiment after the re-election of NDA government, Groww COO Harsh Jain said. Also, rupee stabilising against the dollar may have triggered the inflows in debt segment, he added.
Prior to this, FPIs had invested a net Rs 9,031.15 crore in May, Rs 16,093 crore in April, Rs 45,981 crore in March and Rs 11,182 crore in February in the capital markets (both equity and debt).
“FPIs have been net buyers since Feb when the “foreign inflows were triggered by the dovish stance taken by the central banks globally, while recently FPI flows rose after the NDA got a massive mandate,” VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services said. With election done and euphoria around it subsiding, the focus would now be on the steps the Centre takes to bring the economy back on rails.