<p>Foreign investors have so far invested Rs 43,800 crore in Indian equities markets as a result of strong macroeconomic fundamentals, consistent earnings growth, and difficulties facing the Chinese economy.</p>
<p>from this, statistics from the depositories revealed that inflow in the equities market hit Rs 1.2 lakh crore so far this year.</p>
<p>According to market experts, the forecast for FPI inflows into Indian stocks is still quite positive and broad-based.<img decoding=”async” class=”alignnone wp-image-91064″ src=”https://www.theindiaprint.com/wp-content/uploads/2023/07/www.theindiaprint.com-bihar-ndrf-sent-rescue-operations-underway-for-a-4-year-old-trapped-in-a-150-foot-borewell-in-nalanda-download-2023-07-23t172410.610.jpg” alt=”” width=”1318″ height=”992″ srcset=”https://www.theindiaprint.com/wp-content/uploads/2023/07/www.theindiaprint.com-bihar-ndrf-sent-rescue-operations-underway-for-a-4-year-old-trapped-in-a-150-foot-borewell-in-nalanda-download-2023-07-23t172410.610.jpg 259w, https://www.theindiaprint.com/wp-content/uploads/2023/07/www.theindiaprint.com-bihar-ndrf-sent-rescue-operations-underway-for-a-4-year-old-trapped-in-a-150-foot-borewell-in-nalanda-download-2023-07-23t172410.610-150×113.jpg 150w” sizes=”(max-width: 1318px) 100vw, 1318px” /></p>
<p>The growing values, though, are a cause for worry. According to V K Vijayakumar, Chief Investment Strategy at Geojit Financial Services, various negative triggers might cause a significant reversal at high values.</p>
<p>Continuous inflows from FPIs have caused the Indian equities markets to soar to record high levels. Therefore, Himanshu Srivastava, Associate Director – Manager Research at Morningstar India, indicated that future intermittent profit booking cannot be completely ruled out.</p>
<p>The data shows that FPIs have been consistently purchasing Indian stocks since March and have invested Rs 43,804 crore so far this month (as of July 21).</p>
<p>Additionally, this is the third consecutive month that the net flows have exceeded Rs 40,000 crore. In June, it was Rs 47,148 crore, and in May, it was Rs 43,838 crore.</p>
<p>In addition to investment via stock exchanges, this statistic also covers investment through bulk agreements and primary market.</p>
<p>Prior to March, foreign investors withdrew a total of Rs 34,626 crore in January and February.</p>
<p>According to Srivastava, the main factors driving foreign investment into Indian shares include “steady earnings growth recovery, stable macroeconomic fundamentals, the challenges faced by the Chinese economy, and concerns over its recovery.”</p>
<p>While the state of the world economy is still uncertain, Mayank Mehraa, Smallcase manager and principal partner at financial consultancy Craving Alpha, noted that India’s strength in the micro economy, appealing valuations, and encouraging corporate earnings point to the possibility of long-term growth and investment opportunities.</p>
<p>According to Geojit’s Vijayakumar, India has received the most FPI flows from developing nations so far this year.</p>
<p>In addition to investing in stocks, foreign investors invested 2,623 crores in Indian debt during the period under consideration.</p>
<p>FPIs continue to invest in the banking, automotive, capital goods, real estate, and FMCG industries.</p>
