Foreign Institutional Investors (FIIs) played a crucial role in boosting the Indian equity markets on January 2, emerging as net buyers with a significant net inflow of ₹1,506.75 crore. FIIs purchased shares worth ₹13,402.85 crore, while their sell value stood at ₹11,896.10 crore, indicating strong buying interest.
In contrast, Domestic Institutional Investors (DIIs) maintained a more cautious approach, with a net buying value of just ₹22.14 crore. DIIs bought shares worth ₹14,176.58 crore but also recorded a sell value of ₹14,154.44 crore, showcasing a balanced stance in the market.
The robust FII participation contributed to the market’s strong rally, as the Sensex surged 1,436.30 points (1.83%) to close at 79,943.71, while the Nifty jumped 445.75 points (1.88%) to settle at 24,188.65.
The inflows from FIIs were reflected in sectoral performances, with the auto index leading the charge with a 3.5% gain, followed by the IT index up by 2%, and broad-based buying across FMCG, Metal, Oil & Gas, PSU, Realty, and Bank sectors, which all gained around 1%.
The surge in FII activity signifies renewed confidence in Indian equities, potentially driven by improved global market sentiment and domestic economic indicators.
