FII Inflows Surge to ₹45,960 Crore in a Week as Nifty Rallies 8.6%; What's Behind the Rise?

Foreign institutional investors (FIIs) invested a net ₹45,960 crore in Indian equities during the week ended November 6, 2026, as the Nifty 50 rallied 8.6% and the Sensex gained 8.8%. The inflows came after months of foreign selling and coincided with a sharp fall in crude oil prices, a selloff in global artificial intelligence (AI) stocks and strong buying in Indian large-cap shares.

FIIs remained net buyers throughout the five trading sessions, while domestic institutional investors (DIIs) sold shares worth ₹24,197 crore during the week, according to exchange data. The buying also extended the FII inflow streak to 14 consecutive trading sessions by Friday, November 6.

The latest weekly inflows were higher than the ₹45,162 crore withdrawn by foreign investors in October, marking a sharp change in fund flows. FIIs invested ₹14,975 crore on Thursday and another ₹13,750 crore on Friday, taking their combined purchases over the two sessions to ₹28,725 crore.

The change in foreign investor activity came as Indian benchmark indices recorded their strongest weekly gains in nearly six years. The Nifty 50 ended the week above 25,000, while the Sensex closed above 81,000.

FII Inflows Rise as Domestic Investors Turn Net Sellers

Foreign investors have increased their purchases of Indian equities since the second half of October. According to exchange data, cumulative FII inflows reached ₹53,154 crore between October 16 and November 6.

The pace of buying picked up during the final two trading sessions of the week. Thursday's inflow of ₹14,975 crore was the highest single-day FII purchase in more than a year, followed by ₹13,750 crore on Friday.

Domestic investors, meanwhile, moved in the opposite direction. DIIs sold shares worth ₹10,445 crore on November 5 and ₹5,969 crore on November 6, taking their combined selling over the two sessions to ₹16,414 crore.

For the full week, domestic institutional selling reached ₹24,197 crore, ending an 11-week buying streak.

The change is notable because domestic institutions had been supporting Indian equities during the earlier period of foreign selling. With stock prices rising sharply during the week, DIIs booked profits while foreign investors increased their purchases.

The figures also show a difference between exchange-based FII data and foreign portfolio investor (FPI) figures reported by NSDL. While exchange data showed net FII purchases of ₹45,960 crore for the week, separate NSDL-based reports placed FPI inflows at ₹38,971 crore. The two figures are based on different reporting methods.

Why Are Foreign Investors Returning to Indian Equities?

The return of foreign investors comes as global technology shares face selling pressure over concerns about AI-related spending and valuations.

Investors have been reassessing their exposure to companies linked to artificial intelligence after a sharp rise in technology stocks in recent years. The correction has affected several overseas markets, including the US and major Asian technology markets.

India has relatively limited exposure to large AI-focused companies compared with some of these markets. Market participants have cited this difference, along with valuations and earnings growth, as possible reasons for renewed foreign interest in Indian equities.

Lower crude oil prices have also supported sentiment. Brent crude fell more than 16% during the week and touched a low of $93.22 per barrel before closing at $97.75 on Friday, according to Upstox's weekly market report.

India imports most of its crude oil requirements, making changes in international oil prices important for the domestic economy. Lower crude prices can reduce the country's import bill and ease pressure on the rupee.

Corporate earnings have been another factor. Results from several large Indian companies have supported buying in banking, financial services, automobiles and other heavyweight stocks.

Market participants have also pointed to the valuation gap between large-cap shares and smaller companies. The Nifty 50 was trading at a price-to-earnings multiple of around 19 times, compared with higher valuations in the mid-cap and small-cap segments, according to market data cited by Upstox.

Nifty Rallies 8.6%, Sensex Gains 8.8% During the Week

Indian benchmark indices recorded sharp gains during the November 2–6 trading week as foreign investors increased their purchases.

The Nifty 50 gained around 1,977 points, or 8.6%, during the week, while the Sensex advanced about 6,568 points, or 8.8%.

The rally was broad-based, with 46 of the 50 Nifty stocks ending the week higher. Three stocks declined and one remained unchanged.

Among the major gainers, Shriram Finance rose 16.8%, Bajaj Finance gained 15.8%, Mahindra & Mahindra advanced 15.7%, HDFC Bank climbed 13.8% and Reliance Industries increased 13.3%.

Power Grid Corporation of India, Infosys and Tata Consultancy Services were among the few Nifty stocks that ended the week lower.

The gains came despite weakness in global technology markets, with Indian equities benefiting from foreign inflows, lower crude prices and buying in large-cap stocks.

The Nifty and Sensex will resume regular trading on Monday, November 9, following the weekend. The next trading session will show whether foreign investors continue their buying streak after the sharp rise in benchmark indices.

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