Foreign investors have inspired their longest purchasing streak since July 2023 on Monday by optimistic possibilities about India’s stability amidst American trade agreements, assessment of attractive company and global uncertainties.Despite the tension between India and Pakistan, this trend remained.
Foreign portfolio investors (FPIs) invested around $ 4.11 billion in Indian shares in nine consecutive sessions, resulting in an increase of 6.6% in the benchmark Nifty 50 index during this period.
G. Choklingam, founder and head of research, Equinomics Research, told Reuters that international investors are returning to the Indian stock markets as India seems to be less susceptible to global trade struggles than in the US and China. He also said that India expects to maintain its position as the fastest growing major economy in the financial year 2026.
FPI in Indian stock markets
The stock markets remained flexible, which initially affected the investor’s confidence after dismissing concerns about the possible growth of India-Pakistan tension after the terrorist attack in Kashmir last week.
Market analysts indicate that anticipated US-India trade agreements may increase portfolio investment in the immediate future.
On Monday, American Treasury Secretary Scott Besant said that many business partners presented “very good” tariff proposals, an agreement with India probably will be finally finalized, possibly within the week.
According to Bathini, Kranthi of Wealthmills Securities, foreign investors’ focus to Indian equities is responsible for performance and strong performance from strategic fund movements between China, India and the United States as well as Major companies such as Reliance Industries.
Also read 1 lakh rupees hit in gold prices! What is the approach to sleep and should you buy or sell yellow metal? Explained
This recent foreign investment follows the total return period of $ 25.3 billion from October 2024 to March 2025, which is triggered by elevated assessment, decline in earnings, growth concerns and global trade uncertainty.
As the conclusion of Monday, the Nifty Index was 7.4% less than its peak on 27 September, 2024.
