How was the FII action in the previous week?

After a gap, the foreign institutional investors have shown a lot of confidence in the previous week ending on 17th September. If you look at the numbers, FPIs invested Rs.16,305 crore into the Indian financial markets in the week. This consisted of inflows of Rs.11,287 crore into equities and Rs.5,018 crore into debt. This data pertains to the last week and it is already more than the total inflows for the entire month of Aug-21.

Some have pointed to the FOMO factor for the return of the FPIs. While the stable rupee and higher yield differential has encouraged flows into debt, equity flows were largely driven by a slew of reforms announced in the areas of telecom, bad banks, automobiles, defence and aviation. Inflows were positive across emerging markets with Taiwan getting inflows of $2.60 billion, South Korea $535 million and Thailand $290 million.