FPIs invest ₹12,290cr in first week of August
What's the story
Foreign Portfolio Investors (FPIs) have made a major investment in the Indian market during the first week of August. According to data from the National Securities Depository Limited (NSDL), FPIs invested ₹12,290.68 crore across various segments including equity, debt, hybrid and mutual funds between August 3-7. The equity segment attracted the most attention.
Investment details
Buying momentum continues in equity segment
The equity segment attracted a whopping ₹12,921.14 crore in net inflows during the five-session week.
This indicates that the buying momentum seen through July has continued into August.
The strongest single session was on August 5 when equities alone attracted a net ₹9,323.38 crore.
However, the trend slowed toward the end of the week with equity net inflows declining to ₹349 crore and ₹466.29 crore on August 6 and August 7, respectively.
Debt performance
Hybrid instruments see outflows
The debt segment showed a mixed picture with FPIs being net buyers of ₹621.69 crore for the week under the Debt-General Limit route.
However, this was offset by outflows in other fixed income segments.
The Debt-Voluntary Retention Route (Debt-VRR) saw net outflows of ₹354.20 crore while the Debt-Fully Accessible Route (Debt-FAR) recorded similar outflows over five sessions.
Hybrid instruments also witnessed FPIs pulling out a net ₹570.74 crore during this period.
Expert opinion
Preference for automobiles, consumer durables, and healthcare sectors
Market experts have noted a broader shift in investor sentiment.
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Investments Ltd, said the trend of FPIs buying in India has continued into August.
He observed that FPIs have shown a preference for sectors like automobiles, consumer durables, and healthcare due to good earnings growth in these sectors during Q1 FY27 results.