The daily foreign fund inflow into the Indian capital markets touched a seven-year high on Wednesday. During the day, the foreign investors parked a whopping Rs 7,192.42 crore in the Indian equity markets.
A DH analysis of the Bombay Stock Exchange’s (BSE) data shows that this is the highest daily inflow on the net basis since February 24, 2012, when foreign funds had parked an amount of Rs 8,955.3 crore in the Indian equity markets on a net basis.
On the other hand, the domestic institutional investors (DIIs) had sold a net of Rs 185.87 crore from the Indian markets.
With this, the foreign investors have become the net buyers in the Indian markets on a monthly basis for the first time in the past six months, parking in the amount of Rs 6,724.79 crore.
On an annual basis, the FIIs/FPIs have parked in an amount worth Rs 1.02 lakh crore in the Indian markets, of which Rs 60,958 crore has been parked in equity, while Rs 32,377 crore in the debt markets.
Earlier on March 13, 2018, the combined amount parked in by the foreign institutional investors (FIIs) and foreign portfolio investors (FPIs) stood at Rs 7,028.42 crore.
Analysts attribute it to the sale of shares of the HDFC life. About 10.2 crore shares of HDFC life, representing 5.1% of paid-up equity, traded in multiple blocks on the BSE and the NSE.
These block deals were worth Rs 5,977 crore and shares exchanged hands at an average price of Rs 595 per piece. Standard Life (Mauritius Holdings) 2006 Limited was the seller in block deals.