Foreign institutional investors turned net buyers of Indian equities worth Rs 1,166 crore on Friday, as a sharp easing in the selling pressure lifted market sentiment and capped the strongest weekly rally since April, analysts said on Saturday.
Selling eases sharply
FIIs remained net sellers for the ninth consecutive week, but the weekly outflow moderated dramatically to Rs 8,991 crore from Rs 30,294 crore the previous week, according to IANS. Domestic institutional investors stayed net buyers for a ninth straight week at Rs 7,813 crore, though they were net sellers of Rs 3,661 crore on Friday. Month-to-date, DII net buying of Rs 48,168 crore has almost fully absorbed FII net selling of Rs 48,769 crore.
"The sharp moderation in FII selling and Friday's reversal in flows suggest sentiment is stabilising, though elevated crude keeps the recovery vulnerable," analysts said.
Strongest week since April
The Nifty extended its recovery for a second straight week, closing above 23,000 on Friday at the week's high of 23,146.15 — up 2.8 per cent week-on-week. A firmer rupee and easing US 10-year Treasury yields supported sentiment, though Brent crude holding near $105 per barrel kept inflation and external-risk concerns in focus, IANS reported.
Moneycontrol reported that the Nifty IT index surged 11.7 per cent for the week — its biggest weekly gain in 18 years — driven by better-than-expected second-quarter earnings, while the market capitalisation of BSE-listed companies rose by more than Rs 7 lakh crore. TCS emerged as the biggest contributor to the gains, followed by Bharti Airtel, Infosys and Reliance Industries. The rupee also snapped a two-week losing streak, recovering 178 paise to close at 94.95 per dollar on October 16.
What to watch
Investors remain focused on the Brent crude trajectory and US–Iran developments, while domestically the Q2 earnings season and the RBI's monetary policy committee minutes due mid-week — expected to shed light on the 4-2 split over the shift to a calibrated-tightening stance — are the key triggers.
Sources:
IANS: FIIs turn net buyer in Indian market as sentiment improves
Moneycontrol: Market posts strongest weekly rally since April as IT stocks lead
Selling eases sharply
FIIs remained net sellers for the ninth consecutive week, but the weekly outflow moderated dramatically to Rs 8,991 crore from Rs 30,294 crore the previous week, according to IANS. Domestic institutional investors stayed net buyers for a ninth straight week at Rs 7,813 crore, though they were net sellers of Rs 3,661 crore on Friday. Month-to-date, DII net buying of Rs 48,168 crore has almost fully absorbed FII net selling of Rs 48,769 crore.
"The sharp moderation in FII selling and Friday's reversal in flows suggest sentiment is stabilising, though elevated crude keeps the recovery vulnerable," analysts said.
Strongest week since April
The Nifty extended its recovery for a second straight week, closing above 23,000 on Friday at the week's high of 23,146.15 — up 2.8 per cent week-on-week. A firmer rupee and easing US 10-year Treasury yields supported sentiment, though Brent crude holding near $105 per barrel kept inflation and external-risk concerns in focus, IANS reported.
Moneycontrol reported that the Nifty IT index surged 11.7 per cent for the week — its biggest weekly gain in 18 years — driven by better-than-expected second-quarter earnings, while the market capitalisation of BSE-listed companies rose by more than Rs 7 lakh crore. TCS emerged as the biggest contributor to the gains, followed by Bharti Airtel, Infosys and Reliance Industries. The rupee also snapped a two-week losing streak, recovering 178 paise to close at 94.95 per dollar on October 16.
What to watch
Investors remain focused on the Brent crude trajectory and US–Iran developments, while domestically the Q2 earnings season and the RBI's monetary policy committee minutes due mid-week — expected to shed light on the 4-2 split over the shift to a calibrated-tightening stance — are the key triggers.
Sources:
IANS: FIIs turn net buyer in Indian market as sentiment improves
Moneycontrol: Market posts strongest weekly rally since April as IT stocks lead
