FIIs bought a net ₹6,688.37 crore of equities on September 2, according to provisional data, nearly six times the ₹1,143.38 crore they purchased in the previous session.
Gross FII purchases stood at ₹26,715.88 crore, compared with sales of ₹20,027.51 crore.
Domestic Institutional Investors (DIIs) also remained buyers, purchasing a net ₹2,812.98 crore. They bought shares worth ₹17,639.89 crore and sold ₹14,826.91 crore.
That was up from net DII buying of ₹1,846.94 crore on Tuesday.
Together, FIIs and DIIs pumped a net ₹9,501.35 crore into Indian equities on Wednesday.
FIIs have quickly reversed course
The latest numbers mark a sharp turnaround in foreign investor activity over the past two sessions.
FIIs had sold a net ₹7,985.88 crore on August 31 before returning with ₹1,143.38 crore of purchases on September 1 and increasing that to ₹6,688.37 crore on September 2.
That means FIIs have bought a net ₹7,831.75 crore over the past two sessions — almost enough to offset the nearly ₹8,000-crore selloff on August 31.
DIIs, meanwhile, have remained buyers throughout, providing additional support to the market.
Heavy institutional buying fails to lift market
Despite the ₹9,500-crore combined institutional inflow, Indian equities ended Wednesday lower as weak global cues and selling in auto and IT stocks weighed on the market.
The Sensex fell 374 points to 76,570, while the Nifty lost 141 points to close at 23,914, slipping below the 24,000 mark for the first time in more than a month.
The Nifty Bank declined 238 points to 57,172, while the Midcap index dropped 333 points to 63,002.
Reliance Industries provided some support, but it wasn’t enough to offset weakness elsewhere.
Auto stocks were among the biggest drags after mixed August sales updates, with the Nifty Auto index falling around 2%. Higher crude-oil prices also weighed on airlines, paint makers and oil-marketing companies, with Asian Paints emerging as the biggest Nifty loser.
Thirty-six of the 50 Nifty constituents ended lower, including seven that lost at least 2%. Overall market breadth was also negative, with the advance-decline ratio at 2:3.
Coal India bucked the weakness, rising more than 4% after its August update. Adani Ports and Adani Enterprises recovered from their intraday lows to finish around 1% higher.
Power stocks also gained on expectations of stronger demand, with Tata Power and JSW Energy rising around 4% each.
Also Read: FIIs return to buying with ₹1,143 crore inflow after nearly ₹8,000-crore selloff
