While the return of ₹23,544 crore in foreign portfolio investor (FPI) flows during August signals a fundamental revival in sentiment, the secondary market is struggling to convert this liquidity into sustained upward momentum. A record-setting pipeline of equity deals and secondary block placements is effectively acting as a liquidity sponge, diverting institutional capital away from the exchange floor. Consequently, index-level progress remains highly consolidated, and intraday breadth is increasingly fragmented.
Aurific Market Desk
Pre-marketThe Secondary Market Squeeze: Why FPI Inflows Can’t Cure India’s Block-Deal Fatigue
Foreign portfolio flows are returning to Indian equities, but a record-setting primary and block-deal pipeline is draining the secondary market's momentum.
By the Aurific Market DeskAugust 24, 20264 min readAI-assisted
Nifty 50
+0.08%
intraday
Market breadth
333 / 410
adv / dec
India VIX
11.20
volatility
Top gainer
+20.00%
NKIND
Top loser
-15.70%
SHAH
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