Rain of money in the Indian stock market, FPI has invested more than 16000 crores so far in June

There is a continuous positive trend toward Indian markets from Foreign Portfolio Investors (FPIs). Since the beginning of June till now, foreign investors have invested more than Rs 16,000 crore in the Indian stock market.
According to the released data, Rs 16406 crore has been invested by FPIs in the trading session from June 1 to June 16. Earlier, foreign investors had invested Rs 43,838 crore in May, Rs 11,631 crore in April, and Rs 7,936 crore in March. Between January and February, FPIs pulled out Rs 34,000 crore from the Indian markets.
In 2023, FPIs have become net buyers in the Indian market. So far, have invested Rs 45,600 crore in the Indian markets.
VK Vijayakumar, Chief Investment Strategist, at Geojit Financial Services, says that a large number of FPI investments show that investor confidence in the Indian economy is increasing. Along with this, the income of the corporate sector is also increasing.
Himanshu Srivastava, manager of research and associate director at Morningstar India, said valuations are a concern as Indian markets continue to grow and tighter regulations could also scrutinize some of this foreign investment coming into India.
There has been no change in interest rates in the June monetary policy by the US Fed. This has given a lot of support to the market. Along with this, low inflation in India is also a reason for the rise in the market.
FPIs are buying in financials, automobiles, auto parts, capital goods, and construction stocks. Whereas, IT, metal, power, and textile stocks are selling.