FIIs pour ₹45,960 crore into Indian markets in a single week, end 10-week sell-off
Synopsis
Key Takeaways
Foreign institutional investors (FIIs) turned aggressive net buyers in Indian equities this week, pumping in ₹45,960 crore across all five trading sessions — more than wiping out the ₹45,162 crore they had offloaded through the entire month of October. The reversal extends their buying streak to a second consecutive week after a prolonged 10-week selling run that had weighed heavily on domestic sentiment.
FII Buying Surge: What Happened
The buying was most concentrated on Thursday and Friday, when FIIs collectively purchased ₹28,724 crore worth of equities. Pabitro Mukherjee, Deputy Vice President — Research at Bajaj Broking, noted that the net institutional buying of ₹21,764 crore for the week served as the primary engine of the rally, with activity accelerating sharply toward the weekend.
DIIs Snap 11-Week Buying Streak
Domestic institutional investors (DIIs), by contrast, turned net sellers to the tune of ₹24,197 crore, selling across all five sessions and breaking an 11-week consecutive buying streak. According to Mukherjee, DIIs were largely booking profits into the sharp upward move — a classic institutional response when markets overshoot in a short window.
Sensex and Nifty Log Strongest Weekly Rally in Years
The BSE Sensex surged 1,718.01 points, or 2.17%, to close at 81,028.02 on Friday, while the Nifty50 advanced 493.75 points, or 2.01%, settling at 25,030.35. Indian benchmark indices extended their winning streak to seven consecutive trading sessions — the first such run in three years — driven by heavy buying in banking heavyweights and earnings-driven stocks. Analysts described the weekly gain of over 8.5% as one of the strongest in recent memory, underpinned by renewed foreign inflows, strong domestic corporate earnings, easing geopolitical tensions, and a sharp decline in crude oil prices linked to lower bond yields.
What to Watch Going Forward
Market breadth remained largely broad-based through the week, with buying interest spread across key indices. However, analysts cautioned that the sustainability of foreign inflows will be the defining variable in the weeks ahead. With DIIs in profit-booking mode, the rally is now increasingly reliant on continued FII support — a concentration risk if global sentiment shifts. The new Samvat opens with a holiday-shortened week, beginning with the Muhurat trading session on Sunday.