Foreign investors buy bank stocks in record setting rally

Foreign institutional investors bought a net $495 million in Indian banks, while selling a net $791 million in pharmaceutical and biotechnology shares this month as of March 15, regulatory data shows.

As a result, lenders have been one of the top performers this month, during a month in which the Nifty has hit a slew of record highs, including most recently on Monday.

The NSE's bank sub index up about 15 percent so far this month, outperforming the nearly 5 percent gain in the Nifty.

Analysts have attributed the strong interest in domestic oriented stocks such as banks on expectations the opposition Bharatiya Janata Party would win elections due next month given its perception as being more business-friendly.

Optimism about the domestic economy has also played a role, given easing inflation and a sharply narrower current account deficit.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • The sudden rush of new papers could unsettle the secondary market

    While questions are being raised if the party has somewhat overextended on the Street, given the not-too-comforting macroeconomic numbers, retail inve

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Arun Kumar Jain

Why manufacturing needs innovation

Prime minister Narendra Modi’s call of “come — make in ...

Kuruvilla Pandikattu SJ

Warren Buffett’s key to happiness

Despite being the second richest American, Warren Buffett still lives ...

Gautam Gupta

In fashion, why quality must exceed quantity

Every time there’s a fashion week in India, my friends, ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture