Foreign Investors Boost Financials and IT While Pulling Back on Oil

Foreign investors flock to financial services, IT, and real estate in December, while pulling back from oil, gas, and auto sectors. Net buying reached ₹22,766 crore!

fpi focus financials it and real estate dominate december inflows

In the first half of December, foreign investors were very active, putting a lot of money into three main areas: financial services, IT (information technology), and real estate (like homes and commercial properties). They invested ₹7,424 crore in financial services, ₹6,754 crore in IT companies, and ₹4,689 crore in real estate.

However, not all sectors were popular. These investors sold off ₹5,337 crore worth of oil and gas stocks, ₹1,823 crore in auto stocks (like cars and trucks), and ₹1,655 crore in fast-moving consumer goods (FMCG) shares (like everyday items you buy at the store).

Overall, foreign investors were net buyers, meaning they bought more shares than they sold, totaling ₹22,766 crore in the first two weeks of December. After experiencing some sell-offs in November, investors are now showing more interest in the telecom (like phones and internet) and services sectors, with investments of ₹627 crore and ₹553 crore, respectively, in early December.

Looking at the whole year, the oil and gas sector had the highest amount of money pulled out by foreign investors, totaling ₹50,851 crore in 2024. Financial services also faced significant withdrawals, with almost ₹54,000 crore pulled out.

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