FIIs turn net buyer this week, purchase Rs 4,670 crore in Indian markets
Mumbai, July 11
Foreign institutional investors turned net buyer in the Indian equity markets this week, purchasing Rs 4,670 crore based on provisional exchange data.
Domestic institutional investors (DIIs) were also net buyers as usual, purchasing Rs 8,280 crore.
Mutual fund systematic investment plan (SIP) contributions reached a three-month high of Rs 31,780 crore in June, according to the latest data released by the Association of Mutual Funds in India (AMFI).
This reflects a steady 2.7 per cent month-on-month increase compared to Rs 30,950 crore in May, alongside a 16.5 per cent jump from the Rs 27,270 billion recorded in June 2025, according to analysts.
"Benchmark Indices snapped it's four-week winning streak as it traded with high volatility and closed marginally lower during last week. Nifty started the week on a positive note and rallied to form an intra-week high of 24,530 on Tuesday's session," said Pabitro Mukherjee, Deputy Vice President-Research, Bajaj Broking.
However sharp decline during the midweek on account of renewed geopolitical tensions between US and Iran saw the index gave up entire recent gains and formed an intra-week low of 23,805 on Wednesday's session.
Index witnessed a rebound in the last two session of the week to close around 24,200 levels down by 0.3 per cent.
According to analysts, as far as policy initiatives are concerned, improvements made in the tax structure for foreign debt investors and policies to bring in foreign currency flows have boosted investor confidence.
There has been considerable participation of FIIs in the domestic markets with the flow of FII funds in debt markets being around $5-$6 billion, said market watchers.
FIIs were net sellers ($3 billion) in June while domestic institutional investors (DIIs) were net buyers ($9 billion) in the Indian equity market.
Over the last 12 months, Indian primary markets recorded FII net inflows of $8.1 billion while secondary markets suffered FII net outflows of $49.3 billion, said the report by JM Financial Institutional.
— IANS
Reader Comments
The DIIs buying Rs 8,280 crore shows that domestic institutions are holding the fort. But I wish the article explained why FIIs turned buyers this week - is it just because of the geopolitical tension easing or something else? The tax changes for foreign debt investors might be helping too. 🤔
Good to see SIP contributions hitting a three-month high of Rs 31,780 crore. The common man's faith in mutual funds is strong despite all the volatility. But let's be honest - the FII selling over the past year has been massive ($49.3 billion in secondary markets). One week of buying doesn't change the bigger picture.
I'm a small investor and this news gives me some hope. But the 4-week winning streak breaking shows how fragile the market is. The US-Iran tensions really spooked everyone mid-week. Thank god for the rebound in the last two sessions! Let's hope the budget brings more clarity for FIIs.
The contrast is stark - FIIs were net sellers of $3 billion in June, but DIIs bought $9 billion. Domestic money is the real backbone now. The tax structure improvements for foreign debt investors are smart policy moves. But I worry about the $49.3 billion FII outflow from secondary markets over the past year - that's huge!
Love seeing the SIP numbers go up! Shows Indian investors are finally learning to stay disciplined through volatility. But I wish the article gave more context on whether this FII buying is sustainable or just a temporary blip. The geopolitical risks are still there, unfortunately
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