News India Live, Digital Desk: The Return of the Bulls: Analysts said on Monday that the ceasefire between India and Pakistan has paved the way for a sharp bounce in the market and is also likely to resume their equity procurement in India by foreign institutional investors (FIIs).
Sensex and Nifty rose by more than 2.7 percent in morning trading. According to those who monitor the market, now the main reason for the boom will be FII purchases, which continued for 16 consecutive days except last Friday, when the struggle increased.
FIIs prefer big companies like ICICI Bank, HDFC Bank, Bajaj Finance, L&T, Bharti, UltraTech, M&M and Eicher. Midcap IT and digital stock are other segments that should be monitored. The latest declaration of US President Donald Trump’s reducing drug prices in the US may bring pharma stock under pressure in the near future.
Vijaykumar said, “There are rumors of America’s agreement on trade with China, but not yet detailed information. If there is an agreement, it will be good for the global economy.”
In recent times, FPI investment has been identified continuously by FII. FII bought equity for a total amount of Rs 48,533 crore through ex -exchanges in 16 business days ended May 8.
Analysts said, “When the Indo-Pak struggle increased, they sold Rs 3,798 crore on 9 May. Now that the ceasefire has been announced, the FII is likely to resume its equity purchase in India.”
It is important to understand that in the first three months of this year, FIIs were continuously selling in India. The largest selling (Rs 78,027 crore) began in January when the dollar reached 111 in mid -January. After that the intensity of selling decreased. In April, FII took the buyer’s stand with a purchase of Rs 4,243 crore.
Weather Update: After the rains, now outbreak of intense heat, mercury will climb in Delhi-UP-Bihar
