FPIs stay glued to Indian equities; infuse Rs 16,405 cr in June so far

Foreign portfolio investors (FPIs) continued to invest in Indian equities for a fourth straight month as they injected Rs 16,405 crore in June so far on the country's strong economic rebound and positive growth outlook.

FPI flows touched a nine-month high of Rs 43,838 crore in equities in May, Rs 11,631 crore in April, and Rs 7,936 crore in March, data with the depositories showed.

Before that, FPIs had pulled out over Rs 34,000 crore during January-February.

"Considering the current investment trend, it is expected that FPIs will continue to show interest in the Indian market throughout the month," Mayank Mehraa, Smallcase manager and principal partner at financial consultancy Craving Alpha, said.

The ongoing economic recovery, positive corporate earnings, and supportive policy environment are likely to sustain the inflow of funds, he added.

However, valuation could become a concern as Indian markets continue to surge and stricter regulatory norms could also check foreign money .