FII, DII data: FPIs offloaded shares worth Rs 3632 Cr, DIIs sold shares worth Rs 434 Cr on December 8, Friday

Foreign institutional investors (FII) purchased shares worth net Rs 3,632.30 crore, while domestic institutional investors (DII) sold shares worth net Rs 434.02 crore on December 8, 2023, according to the provisional data available on the NSE.

“FPIs made a major comeback to India in December. Even though FPIs made an investment of Rs 9000 crores in India in November, they were sellers for Rs 368 crores in the cash market. This has changed in December with big time buying in the cash market. The cash market buying in December through 8th is Rs 10874 crores. But the actual inflows caused by MSCI EM Index rebalancing, among others, is very high.  The indication of political stability after the 2024 General elections, strong growth momentum in the Indian economy, inflation cooling off, steady decline in U.S. bond yields and the correction in Brent crude have turned the situation in India’s favour,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

“Going forward, FPI inflows are likely to continue. FPIs have turned buyers in leading banks where they have been sellers. Large caps in segments like IT, telecom, automobiles and capital goods are also witnessing buying. This trend is likely to continue,” V K Vijayakumar added.

Foreign institutional investors (FII) or Foreign portfolio investors (FPI) are those who invest in the financial assets of a country while not being part of it. On the other hand, domestic institutional investors (DII), as the name suggests, invest in the country they’re living in. Political and economic trends impact the investment decisions of both FIIs and DIIs. Additionally, both types of investors  –  foreign institutional investors (FIIs) and domestic institutional investors (DIIs) – can impact the economy’s net investment flows.