FIIs Break 16-Session Buying Spree with Rs 3,799 Crore Net Outflow
Foreign Institutional Investors (FIIs), who had been consistently accumulating Indian equities over the past 16 trading sessions with an aggregate inflow of around Rs 40,000 crore, reversed their stance on Friday. According to exchange data, FIIs turned net sellers with a sharp withdrawal of Rs 3,799 crore, reflecting a shift in sentiment amid rising geopolitical tensions between India and Pakistan.
On the other hand, Domestic Institutional Investors (DIIs) showed strong confidence in the Indian market by absorbing the FII offload, emerging as net buyers with a robust Rs 7,278 crore in net purchases. DIIs registered gross purchases of Rs 15,547 crore and sales of Rs 8,269 crore, suggesting increased domestic institutional interest during market volatility.
Highlights:
FIIs net sold shares worth Rs 3,799 crore after 16 consecutive sessions of net buying.
DIIs net bought shares worth Rs 7,278 crore, with gross purchases of Rs 15,547 crore.
FIIs bought equities worth Rs 11,483 crore and sold Rs 15,281 crore on the day.
YTD Flows Show FIIs Still Negative; DIIs Continue to Support Market
Despite the previous multi-session buying spree, FIIs remain net sellers for 2025, with total outflows now standing at Rs 1.22 lakh crore. In contrast, DIIs have been net buyers to the tune of Rs 2.25 lakh crore, providing continued support to domestic equities in the face of foreign outflows.
The reversal in FII trend coincides with heightened geopolitical risks, particularly escalating military action between India and Pakistan, which has injected uncertainty into the market and led to a risk-off mode among overseas investors.
Highlights:
YTD FII outflows total Rs 1.22 lakh crore.
YTD DII inflows stand at Rs 2.25 lakh crore.
Benchmarks Tumble Over 1% Amid Risk-Off Sentiment; Sectoral Action Mixed
On the back of FII selling and rising border tensions, both benchmark indices posted sharp losses on Friday. The Sensex declined by 880.34 points or 1.1% to settle at 79,454.47, while the Nifty fell 265.80 points, closing at 24,008, also down 1.1%. For the week, both indices recorded a decline of more than 1%, snapping previous gains.
Among the broader indices, the BSE Midcap index closed flat, while the Smallcap index dipped 0.3%, reflecting limited damage in the wider market. Sectorally, there was weakness in realty (-2.3%) and private banks (-1.3%), while segments such as media, consumer durables, capital goods, and PSU banks posted gains ranging between 0.9% and 1.6%.
Key Nifty losers included ICICI Bank, Power Grid Corp, UltraTech Cement, Shriram Finance, and Grasim Industries, while Titan Company, Tata Motors, L&T, Bharat Electronics, and Hero MotoCorp emerged as top gainers.
Highlights:
Sensex ended at 79,454.47, down 880.34 points.
Nifty closed at 24,008, falling 265.80 points.
Realty index plunged 2.3%, private banks down 1.3%.
PSU banks, media, durables, and capital goods indices rose 0.9%-1.6%.
Nifty Holds 24,000 but Bears Eye Breakdown
According to Rupak De, Senior Technical Analyst at LKP Securities, the Nifty showed signs of vulnerability as traders pivoted toward risk-off trades, with the index falling from its recent consolidation zone. Despite closing above the psychological 24,000 mark, the index is nearing a crucial technical support.
De highlighted that a decisive breakdown below 23,900 could invite further bearish bets, while any upward momentum may find resistance at 24,250. He also pointed to the 21-day exponential moving average (EMA) as a short-term support level that temporarily halted further declines.
Highlights:
Nifty faces immediate support at 23,900 and resistance at 24,250.
Risk-off sentiment driven by India-Pakistan tensions impacted market trend.
Index held 21-day EMA but bearish pressure remains in short term.
