FIIs extend buying spree in Indian stocks, pump in Rs 12,563 crore on Wednesday; November inflows top Rs 66,000 crore

Foreign investors continued their buying spree in Indian equities on Wednesday, investing Rs 12,563 crore as markets resumed trading after remaining closed on November 10. Meanwhile, domestic institutional investors (DIIs) offloaded equities worth Rs 8,435 crore on November 11.

With the today's investment, total foreign investor buying in November has reached Rs 66,302 crore. According to depository data, foreign portfolio investors (FPIs) made a net investment of Rs 53,739 crore in Indian equities between November 2 and 9, covering six trading sessions.

The latest investment follows two consecutive months of net outflows, with FPIs withdrawing Rs 34,843 crore in October and Rs 35,861 crore in September. Despite the strong buying in November, cumulative FPI outflows from Indian equities in 2026 stood at Rs 2.41 lakh crore before the latest investment.


The return of foreign investors to Indian equities has been driven by the AI-led sell-off in global markets, strong domestic earnings growth and attractive valuations in large-cap stocks.

ALSO READ: FIIs are back with a bang but why are stocks from only 2 sectors their favourites?

Jefferies flags key triggers for sustained FPI inflows

Global brokerage firm Jefferies has identified several factors that could sustain the revival in foreign investor flows into Indian equities. These include a potential reversal or broadening of the concentrated artificial intelligence (AI) trade, possible equity tax relief, resilient domestic macroeconomic conditions, relatively reasonable large-cap valuations and light foreign investor positioning.

The brokerage noted that a moderation in the concentrated AI trade could encourage global investors to redirect allocations towards India. It also highlighted rising hyperscaler bond spreads, indicating increasing questions around AI capital expenditure. MSCI Korea has already declined around 40% from its June 2026 peak, Jefferies noted.

Geopolitical developments remain unpredictable, but any easing of tensions that brings down crude oil prices could also support foreign investor flows into India.

Crude prices have declined around 20% from their October 2026 peak. As a major oil-importing economy, lower crude prices could benefit India and support the rupee, according to the brokerage.

Jefferies also flagged potential equity tax relief as another factor that could improve India's relative attractiveness to foreign investors.

On the domestic front, macroeconomic indicators remain supportive, with healthy festive-season automobile sales, robust power demand and credit growth. These factors have contributed to a 1.5 percentage point upgrade in MSCI India's earnings estimates since the end of June 2026, according to the brokerage.

A potential revival in foreign investor flows into Indian equities could benefit large-cap stocks more directly, given their higher liquidity and FPI ownership, according to a Jefferies.

The brokerage has identified Reliance Industries, HDFC Bank, Axis Bank, Kotak Mahindra Bank, Max Healthcare, JSW Energy, UltraTech Cement, IndiGo, Varun Beverages, Indian Hotels Company (IHCL), DLF and Sona BLW as potential beneficiaries of a reversal in foreign investor flows.

ALSO READ: Jefferies sees largecaps benefiting from FPI revival; Reliance, HDFC Bank, Axis Bank among potential beneficiaries

Sensex, Nifty ends higher

Indian benchmark equity indices witnessed a strong gap-up opening on Wednesday, November 11. However, some profit booking emerged at higher levels, trimming the initial gains. Despite this, the overall market undertone remained positive, supported by strong FII buying, declining crude oil prices, a recovery in the rupee and improving corporate earnings.

At close, the Sensex gained 772.75 points, or 0.95%, to settle at 81,879.40, while the Nifty advanced 210.40 points, or 0.84%, to close at 25,255.05, reflecting sustained buying interest in frontline stocks.

The broader market also witnessed healthy buying participation, with the Nifty Midcap 100 gaining 0.81%, while the Nifty Smallcap 100 outperformed with a sharper rise of 1.59%, indicating broader market strength and improving investor participation.

Sectoral participation remained largely positive, with Nifty PSU Bank, Auto and FMCG emerging as the key outperformers. However, selective profit booking was witnessed in Nifty IT, Realty and Pharma, which remained under pressure.

Nifty eyes 25,800

From a technical perspective, a follow-through move above Wednesday's high of 25,425 could open further upside towards the 25,800 level in the coming week.

"Failure to move above 25,425 will lead to some consolidation in the range of 24,700-25,425 amid stock-specific action as we progress through the fag end of the quarterly earnings session," said Pabitro Mukherjee, Deputy Vice President-Research, Bajaj Broking.

The index has immediate support placed around last week's breakout area of 24,775-24,700 levels.

"Nifty has seen a strong up move of more than 3,000 points in the last 12 sessions. Hence, some consolidation cannot be ruled out at higher levels," Mukherjee added.

Disclosure: This article has been written by Kumar Gaurav, who is not a Sebi-registered Research Analyst or an Investment Adviser. Gaurav and their ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective Sebi-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here