FIIs Make A Stunning Comeback On Dalal Street, ₹45,960 Crore Inflows Fuel Nifty Rally As Global Investors Turn To India

Mumbai: Foreign institutional investors (FIIs) have returned to Indian equities with aggressive buying, injecting Rs 45,960 crore during the week ended November 6. The sharp reversal has strengthened market sentiment after months of sustained foreign outflows.

The renewed interest helped the Nifty 50 surge 8.58 percent during the week, reclaiming the crucial 25,000 level amid improving domestic fundamentals and shifting global investment preferences.

Foreign Buying Accelerates

The latest weekly inflows exceeded October's entire FII withdrawal of ₹45,162 crore, signalling a significant change in investor positioning.

Foreign investors purchased equities worth approximately ₹14,975 crore on November 5 and ₹13,750 crore on November 6, providing momentum to the market recovery.

Meanwhile, domestic institutional investors (DIIs) turned net sellers, offloading shares worth ₹24,197 crore during the week.

India's Growth Advantage

India's relatively diversified economy is emerging as an attraction for global investors seeking alternatives to technology-heavy markets.

Unlike economies dependent on semiconductor exports, India's growth is supported by domestic consumption, banking, infrastructure and manufacturing.

The Reserve Bank of India's GDP growth projection of 7.1 per cent for FY27 further reinforces confidence in the country's economic prospects.

Oil Prices Offer Relief

Declining international crude oil prices have provided another positive trigger for Indian equities.

Lower energy costs could ease inflation, support corporate profitability and reduce India's import burden.

Meanwhile, concerns over expensive artificial intelligence stocks and global market volatility have encouraged investors to reassess portfolio allocations.

Can Momentum Continue?

Market experts remain cautious about declaring a sustained turnaround despite the impressive recovery.

Future FII investments will depend on corporate earnings, global interest rates, currency stability and geopolitical developments.

Nevertheless, the strong comeback highlights India's renewed appeal as a destination for international capital.

Sustained foreign participation, alongside resilient domestic demand, could provide additional support to Indian equities in the coming weeks.