New Delhi, June 14
Foreign portfolio investors (FPIs) brought in Rs 3,346.94 crore into the Indian stock markets this week, as investor confidence received a strong boost following the Reserve Bank of India's (RBI) rate cut.
According to data from the National Securities Depository Limited (NSDL), FPIs were active buyers in the Indian equity market during the first three trading sessions of the week -- from June 9 to June 13.
The positive mood in the market was largely driven by the RBI’s decision to reduce the repo rate by 50 basis points to 5.5 percent, a move that many saw as a clear signal to support economic growth and improve market liquidity.
Market experts believe that this surprise rate cut has played a big role in attracting foreign investments, as it reflects a pro-growth approach from the central bank.
The Monetary Policy Committee’s (MPC) decision on June 6 has been welcomed by investors, who see it as a timely step to strengthen the economy and improve corporate earnings.
Even though global factors continue to affect market movements, India remains an attractive destination for foreign investment due to its strong fundamentals, policy support, and growing economy.
In May, foreign investors put Rs 19,860 crore into the Indian stock market, making it the best month of the year so far for foreign investment.