Foreign institutional investors (FIIs) extended their buying spree in Indian equities on Monday, purchasing shares worth ₹7,212.22 crore on a net basis, according to provisional exchange data. Domestic institutional investors (DIIs), meanwhile, turned net sellers, offloading equities worth ₹7,172.53 crore.
FIIs bought shares worth ₹20,310.99 crore and sold equities worth ₹13,098.77 crore during the session. DIIs, on the other hand, purchased shares worth ₹12,764.97 crore and sold shares worth ₹19,937.50 crore.
Monday’s inflows follow strong foreign buying last week, when foreign portfolio investors (FPIs) pumped nearly ₹48,263 crore into Indian equities over five consecutive trading sessions between November 2 and November 6. Overseas investors were net buyers of shares worth ₹13,749.82 crore on Friday, following purchases of ₹16,277.99 crore on Thursday.
The renewed foreign interest comes amid a recovery in corporate earnings growth. Samir Arora, founder and fund manager at Helios Capital, said double-digit growth in earnings in dollar terms was drawing foreign investors back to Indian equities.
Arora said the initial triggers for the recent inflows were a 15% decline in crude oil prices and speculation around potential tax-related changes. However, he believes much of the buying over the compressed one-week period was driven by hedge funds covering short positions rather than fresh long-term allocations.
Meanwhile, domestic equity benchmarks ended higher on Monday, with the Nifty gaining 58 points to close at 25,045, its highest level in nine months. The Sensex advanced 107 points to settle at 81,106, led by gains in banking stocks.
Banking stocks led the rally, with SBI, HDFC Bank and ICICI Bank among the key contributors to the Nifty’s gains. The Nifty Bank index surged 891 points to close at 59,741, while the Nifty Midcap index advanced 334 points to 61,023.
Public sector undertaking (PSU) stocks, particularly PSU banks, also saw strong buying interest. The Nifty PSU Bank index gained 3%, with Bank of India, Bank of Baroda, Punjab National Bank and Union Bank of India ending 4-5% higher.
Among individual stocks, Data Patterns gained 9% after maintaining its FY27 outlook despite reporting disappointing Q2 results. Defence stocks also moved higher, with Bharat Dynamics and Cochin Shipyard rising around 4% each.
Divi’s Laboratories extended its gains, rising another 4% to hit a lifetime high following strong Q2 results.
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FIIs extend buying spree, pump ₹7,212 crore into equities as Nifty hits 9-month high