[ad_1]
In dollar terms, with $3.4 trillion mcap, India is the fifth largest stock market in the world, behind Hong Kong ($5.2 trillion) and ahead of France ($3.2 trillion), Bloomberg data showed (see graphic).
Since March this year, the monthly figure for stock trades by foreign portfolio investors (FPIs) have turned net positive, CDSL data showed. After a stellar May, when over Rs 43,800 crore had come into the Indian stock market, in June so far the figure is Rs 13,124 crore. However, due to substantial net outflows in January and February, the net inflow figure for 2023 is nearly Rs 42,400 crore, CDSL data showed. This excludes Thursday’s provisional net inflow figure of Rs 3,086 crore, disclosed on the BSE website.
On Thursday, the sensex scaled an intraday high at 63,311 points, less than 300 points away from its alltime peak of 63,583, recorded on December 1, 2022. Likewise, the Nifty was less than 100 points away from 18,888 — its lifetime high recorded in last December.
Since its recent low of 57,527 points on March 24, the sensex is now up about 9.5% to 62,918 points. And market players say strong FPI buying is the leading factor for this rally. They also say the rally is backed by strong fundamentals like strong economic growth, robust tax collections, sliding inflation and a stable rupee. On a comparative basis, the relative underperformance of the Chinese economy has also helped in bringing foreign funds into India, which in turn boosted the stock market, they said.
India will continue to compete with other emerging Asian markets for fund flows, analysts said.
#BSE #mcap #hits #record #lakh #crore #foreign #funds #buying #spree
