Key Points
FIIs turn net buyers after months of selling
Sensex and Nifty gain 0.5% weekly
SEBI eases FPI disclosure norms
Market eyes US tariffs and RBI rate cuts
Despite weak global cues and concerns over upcoming US tariffs, the market continued to witness positive sentiment from foreign investors. After persistent selling in recent months, FIIs have turned net buyers over the past few sessions, experts said on Saturday.
On March 28, the first day of the new (April) series, the market remained volatile. The Sensex ended at 77,414.92, down 191.51 points (0.25 per cent), while the Nifty closed at 23,519.35, down 72.60 points (0.31 per cent).
The market opened flat and remained subdued in the first half, but selling pressure in auto and IT stocks dragged the indices lower in the second half. However, last-hour buying helped Nifty close above the 23,500 mark.
According to a Choice Broking note, for the week, Sensex and Nifty gained over 0.5 per cent each, adding 6 per cent for the month and surging 5 per cent in the dinancial Year 2024-25.
Meanwhile, India VIX declined 5.31 per cent to 12.5750, indicating lower market volatility. Open Interest (OI) data suggests resistance at 23,600 and 24,000, while 23,300 acts as strong support.
A breakout above 23,800 could accelerate further gains, and traders should closely watch these levels to confirm the next trend direction, according to experts.
Manoj Purohit, Partner and Leader, Financial Services Tax, Tax and Regulatory Services, BDO India, said FII inflows have started in green, bringing back the cheer in the Indian market despite the last week of the financial year, which usually witnesses substantial profit booking.
"On the other hand, one of the key announcements made by the SEBI in its Board meeting related to the FPI community has encouraged the FPIs. Basis the reaction of a few large banks on restricting the P-Notes trading volume, the existing threshold for granular beneficial ownership disclosures was increased from Rs 25,000 crore to Rs 50,000 crore," Purohit explained.
Overall, it's a timely move by the capital market regulator wherein foreign investors are adopting a cautious stance towards India. All eyes are now on the upcoming announcements to be made by the US on likely tariff curbs imposition and potential rate cut by the RBI in its review meeting.
Reader's Comments
Anika V.
Finally some good news! My mutual funds took a beating last month. Hope FIIs keep buying 🤞🏽
Rohan P.
"Positive sentiment" but Sensex down? 🤔 Don't understand these market terms. Just hoping my PPF stays safe.
Meera K.
Foreign investors play too much games with our markets. First sell everything, now buy back? 😐 Better to invest in gold.
Arjun S.
Midcap bleed continues... That's 3 lakhs down for me this quarter. When will retail investors get relief?
Priya M.
New investor here! 🎉 This news gives me confidence to start SIP. But what's VIX? Need to learn more first.
Sanjay R.
All this depends on US tariffs decision. Our market always dances to foreign tunes. When will we become truly atmanirbhar?
Neha J.
23,800 resistance level? Charts looking bullish! 🚀 Just bought Nifty call options. Let's see if this breakout happens!
