Weekly Musings – FPI flows for week ended November 15, 2024

Economic News

Indian markets nosedived Tuesday amid weak global cues, continued FPI selling, and relentless selling by domestic institutional investors.

Markets opened flat, and the bulls tried to bring it up during the initial hours, but bears took over sentiment soon after. The Nifty found support near 18,200, which is crucial for the short term. However, if this breaks, the index may fall to 18,000–17,900 levels.

The benchmark indices have been facing selling pressure for the past three weeks due to weak global cues and rising interest rates by central banks.

Technically, the Nifty formed a bearish candle, indicating weakness in the short term. The bulls failed to capitalize on the intraday bounce, resulting in a bearish candle. The remaining week is crucial as a breakout on either side of the range will determine the next move. Support is at the 18,200 and 18,000 levels, while resistance is at 18,400 and 18,500 zones.

Sensex ends 873 points lower, Nifty below 18,300; banking, financial shares under pressure

Sensex declined 873 points to settle at 61,792, while the Nifty50 fell 257 points to end at 18,298. All sectoral indices ended in the red, with the Nifty Bank index plunging 4.32% and the Nifty Financial Services index shedding 3.42%.

The top losers in the Nifty50 were Bajaj Finserv, Axis Bank, ICICI Bank, HDFC, and HDFC Bank.

Foreign institutional investors (FIIs) were net sellers in the Indian capital markets on Tuesday, as they offloaded shares worth Rs 1,844.79 crore.

Domestic institutional investors (DIIs), however, were net buyers to the tune of Rs 1,133.03 crore. Foreign portfolio investors (FPIs) have been net sellers for the past three weeks, offloading shares worth Rs 11,758.70 crore.