In the first half of July, Information Technology stocks saw significant foreign outflows. Overseas investors sold shares across nine sectors. Fast Moving Consumer Goods and auto sectors also experienced withdrawals. Services and metals sectors witnessed inflows. India benefits from China’s rare earth metals retaliation. Base metal prices are rising. The auto sector may face challenges. FMCG might find buyers.
Why FIIs are dumping bluechips to hunt small & midcaps
Foreign institutional investors are shifting their focus from India’s top blue-chip stocks to a wider array of mid- and small-cap companies. This strategic repositioning is