Share Market News: On the second day of the week, Tuesday, October 21, during the Muhurta trading session, foreign investors (FIIs/FPIs) bought Indian shares worth Rs 96 crore. At the same time, domestic institutional investors (DIIs) sold shares worth Rs 1527 crore by the end of the trading session.

Domestic investors sold shares worth so many crores

Domestic investors bought shares worth Rs 324 crore and sold shares worth Rs 931 crore. In contrast, foreign investors bought shares worth Rs 622 crore, but sold shares worth a total of Rs 526 crore. So far this year, foreign investors have sold shares worth Rs 2.40 lakh crore, while domestic investors have bought shares worth Rs 6.02 lakh crore. Vineet Bolinjkar, head of research at Ventura, says, “This year’s Muhurta trading session reflected cautious optimism in the face of a subdued outlook for 2024.

Sensex rose to 84,600 and Nifty remained around 25,900, with most of the sectoral indices remaining in the green. Among these, IT, banking, auto and pharma shares were at the forefront. Muhurta trading of 2024 saw slow growth after a volatile period. Mid-cap and small-cap stocks performed weak due to global uncertainties. Nifty 50 is now improving and its position is likely to become stronger in Samvat 2082.

Possibilities of further improvement in Nifty

The Nifty index is currently trading at a Forward P/E of 18x to 2026, which is slightly higher than its average of 17x. This shows that the possibility of further decline is limited and it is expected that Nifty will improve from the current level. Key drivers of this potential upside include improvement in domestic consumption-driven income from Q3FY26, a potential US-India trade agreement and fiscal and monetary support including interest rate cuts and increase in government capital expenditure.

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Share Market News: After continuous selling, foreign portfolio investors (FPIs) are turning to the primary market of the country. However, they are continuously maintaining distance from the secondary market or stock exchange. Foreign investors are registering their strong presence in the IPO market.

Between January 1 and October 17, 2025, foreign investors made a huge investment of Rs 54,178 crore ($6.23 billion) in the country’s primary market. There is enthusiasm about new listings, but the environment in the secondary market has been completely opposite. During this period, foreign investors sold shares worth Rs 2.02 lakh crore ($23.13 billion).

Looking at this trend, it can be said that the sentiment of foreign investors remains positive regarding Indian shares. Due to this, there has been a rise in the stock market in the last few days. Overall, foreign investors are adopting a two-pronged approach, on one hand they are investing heavily in IPOs and FPOs and on the other hand they are staying away from the secondary market.

Why are foreign investors adopting dual strategy?

VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, said, “The valuation in the primary market remains much cheaper than the secondary market, due to which FPIs are investing in IPOs. This trade has been seen for the last few years.”

Vijayakumar said that in the primary market, foreign investors get preferential allotment under Qualified Institutional Buyers (QIB). They have a guaranteed investment. He also said that due to the Indian stock market being expensive compared to other countries, foreign investors are turning to cheaper markets, but their faith in the primary market remains intact.

Foreign investors stake heavily in primary market

In 2024, FPIs bought shares worth Rs 1.22 lakh crore from the primary market, while they sold shares worth Rs 1.21 lakh crore in the secondary market. Data from PrimeDatabase.com shows that so far this year, 81 companies have raised Rs 1.21 lakh crore by issuing their shares to investors for the first time, while in the whole of 2024, 91 companies had raised Rs 1.6 lakh crore.

This month alone, seven companies raised Rs 35,646 crore through IPO. Some of the big IPOs include Tata Capital Limited (Rs 15,512 crore) and LG Electronics India Limited (Rs 11,607 crore).

Interest of foreign investors in new sectors

According to an Indian Express report, Vipul Bhowar, Senior Director, Head of Equities, Waterfield Advisors, said, “FPIs often want to invest in new sectors and themes which have strong growth potential. Due to this, many FPIs are balancing their portfolio by selling or reducing their stake in old themes and increasing their investments in new themes emerging in the primary market. The trend of FPIs selling in the secondary market and participating in the primary market is increasing.

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Share Market: Foreign investors seem upset again with Indian shares. In June, foreign investors are in a mood for selling again. In the first week of the month, he has withdrawn Rs 8,749 crore. According to depository data, this major change has been seen after a strong investment of Rs 19,860 crore in May and Rs 4,223 crore in April.

Why suddenly declines in shares?

Himanshu Srivastava, Associate Director of Morningstar Investment Research, said that the American investigation on the Adani Group has shown the trust of investors. The Adani Group is also accused of violation of restrictions related to Iran. These reports have affected the market notion and the price of shares has declined.

Let us know that in a report by Wall Street Journal (WSJ), it has been informed whether the companies of Indian businessman Gautam Adani had imported Iranian liquided petroleum via Mundra Port.

However, the Adani Group has described these allegations as baseless. Meanwhile, the US Department of Justice is busy investigating the activities of LPG tankers being used to send goods to Adani Enterprises. India currently does not import oil and petrochemicals products from Iran due to US sanctions. In May, US President Donald Trump said that countries that buy oil or petrochemicals products from Iran would not be able to do business with America.

In 2025, so far it has been outflow

Earlier, foreign investors sold shares worth Rs 3,973 crore in March, Rs 34,574 crore in February and Rs 78,027 crore in January. With the outflow in June, in 2025, the total withdrawal from Indian equity has crossed Rs 1.01 lakh crore.

However, in the meantime, the Reserve Bank of India (RBI) deducted the repo rate by 50 basis points and a 100 basis point cut in the cash reserve ratio (CRR) and gave the investors night. Foreign investors also sold heavy selling in the date market, during June 2-6, withdrawn Rs 6,709 crore from the date general limit and Rs 5,974 crore from the Voluntary Retention Route. The main reason for this is a low difference between American and Indian Bond Yield.

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Share Market: The domestic stock market opened with green mark on Monday. In the sixth consecutive session, there was a boom in business. During this time, the shares of banking and IT companies increased well. Foreign investment is also investing fiercely in the Indian stock market. There is increasing hope among investors in the market that good days of Indian stock are coming.

At 11:01 pm, the BSE Sensex gained 919 points or 1.19 percent to 77,823, while the Nifty 50 index is also trading at 264 points or 1.13 percent to 23,615 level. Due to this boom in the stock market, the total captivity of all companies listed on Bombay Stock Exchange increased to Rs 4.63 lakh crore to Rs 417.93 lakh crore.

Foreign investors bringing fierce money

On Friday, foreign portfolio investors (FPIs) bought shares worth Rs 7,500 crore in the cash market. This was the biggest investment made in a day in the last four months. Since the end of September 2024, foreign investors have been continuously selling in the stock market. During this time, foreign investors took out about $ 29 billion from Indian shares.

Why did the stock market return?

Now the question comes that what is the reason behind this sudden boom in the Indian stock market? According to The Mint’s report, the stock market experts say that after the meeting of the US Fed last week, the stock market has gained momentum among the estimates of Morgan Stanley’s strengthening the Indian economy.

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