After pulling out massive funds from Indian equities last month, overseas investors have pumped in nearly Rs 6,400 crore in the segment in March so far on expectations of rebound in corporate earnings and easing of global oil prices.
However, they pulled out over Rs 10,600 crore from the debt markets during the month, depositories data showed.
Net inflow by foreign portfolio investors (FPIs) from equities stood at Rs 6,380 crore during March 1-16. This follows an outflow of over Rs 11,000 crore from equities and more than Rs 250 crore from debt market last month.
The positive sentiment in equity market could be attributed to a likely strong rebound in corporate earnings over the next 2 quarters and easing of global oil prices which provided a relief on the macro front, Ajay Bodke, CEO and Chief Portfolio Manager PMS at Prabhudas Lilladher, said.
“Equity had massive outflows in Feb (due to global macro concerns and high Indian valuations) which might have come back in March due to reasonable valuations/oil nations SWF (sovereign wealth fund) pumping money in India,” Harsh Jain COO at Groww said.