VK Vijayakumar, chief investment strategist at Geojit Financial Services, said FPIs were active buyers in the market in May, investing a total of Rs 4,383.8 crore through the stock market and primary market.
Post Date – 10:15 PM, Saturday – 6/3/23
Source: IANS.
New Delhi: Foreign Portfolio Investors (FPIs) invested Rs 43,838 crore in Indian equities in May.
VK Vijayakumar, chief investment strategist at Geojit Financial Services, said FPIs were active buyers in the market in May, investing a total of Rs 43,838 crore through the stock market and primary market.
India is now the consensus among all emerging markets to overweight, according to a survey of foreign portfolio investors. India attracted the largest investment of any emerging market in May, while FPIs were sellers in China, he added.
FPIs are also likely to continue investing in India in June as the latest GDP figures and high-frequency indicators reflect further strengthening of the robust economy. Finance, autos, telecommunications and construction are attracting large investments, he said.
In the next few trading days, it is very likely that it will surge to the all-time high of 18887 and break the record. But at record levels, there could be selling pressure as valuations would become a concern, he said.
Joseph Thomas, director of research at Emkay Wealth Management, said stocks had been buoyed by better-than-expected national income data, encouraging manufacturing PMIs and an eventual end to U.S. debt-ceiling discussions.
Positive emotions generated by these events may linger for a while.
In the short term, however, one should recognize that a slowdown in exports is highly likely, with almost all auto companies reporting partial declines in exports, and if the strength of the US sector persists, FPI flows will also slow, he said.
