FIIs turn bullish on Indian securities;invest 950 cr in Oct

FIIs turn bullish on Indian securities;invest 950 cr in Oct

Mumbai: After massively pulling out in the last two months, foreign funds have turned bullish and infused a hefty 950 crore in just a fortnight in Indian markets.

During 3-14 October, overseas investors have purchased equity and debt securities worth a gross amount of 36,590 crore and sold securities valued 35,640.50 crore. This translated into a net inflow of 950 crore, according to data available with the Securities and Exchange Board of India (Sebi).

He further said, “Over the coming months, FIIs will continue to infuse capital in the BRIC countries."

Meanwhile, the 30-share Sensex grew by nearly 4 % or 629 points so far in October. In the last trading session, the key index on BSE finished at 17,082.69, up 199 points from its previous close.

In August and September, foreign institutional investors (FIIs) have witnessed an outflow. In August, foreign funds pulled out nearly 8,000 crore, or $1.8 billion, from the Indian stock and debt markets -- the highest monthly withdrawal since October, 2008. Last month, they withdrew 1,866 crore.

Market analysts believe heavy selling by FIIs was triggered by ongoing debt crisis in the euro zone and weakness in the US economy.

In October, FIIs are bullish on the debt market and poured in 1,707 crore, while they pulled out 757 crore from the equity market in the same period.

So far in 2011, FIIs have pumped in 18,614.20 crore into stock and bond markets, compared to about 1,79,674 crore in the whole of 2010.

The number of FIIs registered with Sebi stood at 1,751 as of October this year.