Foreign portfolio investors (FPIs) are poised for a surge in inflows into Indian equities after a relatively modest first half of 2024. Following a strong 2023, FPI inflows amounted to ₹ 3,201 crore in H1 2024, compared to over ₹ 17,000 crore in the previous year. Despite the market’s bullish trend and multiple new highs, FPIs remained cautious due to uncertainty surrounding the Lok Sabha elections, high valuations, the outperformance of Chinese markets, hawkish stances from central banks, and other global cues. The Nifty 50, however, rose 10.5 per cent in the first half of 2024, while the Sensex clocked a 9.4 per cent gain, hitting record highs of 24,174 and 79,671.58, respectively. Market investors are eagerly awaiting the Finance Minister Nirmala Sitharaman’s presentation of the full budget for FY25, expected in the third week of July. Analysts anticipate a focus on defense, railways, infrastructure, and renewable energy sectors. On the sports front, India will face off against South Africa in a crucial cricket match at the Kensington Oval stadium in Barbados, with both teams currently unbeaten in the tournament. The Regional Meteorological Department (RMC) has issued an orange alert for Mumbai, predicting heavy to very heavy rainfall at isolated places on July 1. An orange alert has also been issued for the National Capital Region (NCR) till July 2, following heavy rainfall in Delhi. In a significant development, Delhi Chief Minister Arvind Kejriwal was sent to judicial custody till July 12 in a CBI case linked to an excise policy matter.
