FIIs pumped over Rs 10,000 cr in stocks in Oct so far

Recent reform initiatives taken by the government is the reason for the renewed interest

Foreign institutional investors poured in over Rs 10,000 crore in the stock market this month so far enthused by reforms initiatives taken by the government to boost economic growth and investor sentiment.

During October 1-12, overseas investors were gross buyers of shares worth Rs 30,605 crore, while they sold equities amounting to Rs 20,223 crore -- translating into net inflow of Rs 10,382 crore ($2 billion), as per data available with market regulator Sebi.

Foreign Institutional Investors' (FIIs) investment in the country's equity market has reached Rs 92,713 crore ($17.84 billion) so far this year.

Market experts believe that FIIs continued their bullish stance on the equity market on account of recent reform initiatives taken by the government and expect the inflows to continue in the coming months.

"The inflows into domestic equity continued on the government's reform measures and I hope it will continue in the coming months as well," Wellindia Vice President Research Vivek Negi said.

He further said foreign investors are optimistic on India as inflation has stabilised which may prompt the RBI to cut interest rates soon.

Apart from equities, FIIs also infused Rs 1,273 crore in the debt market so far this month.

Meanwhile, the BSE's benchmark Sensex slipped by 87 points, or 0.5%, so far this month to settle at 18,675.18 points on Friday.

As on October 12, the number of registered FIIs in the country stood at 1,752 and total number of sub-accounts were at 6,336.