Investors are keenly focused on new govt's first full-year Budget.
While three of the top five FPIs - Capital, Government of Singapore, and Vanguard - have seen their investment value more than triple, India's benchmark indices have risen just 70%.
Sustained capital inflows supporting the rupee sentiment, a forex dealer said.
In forward market, premium for dollar continued to fall due to persistent receivings from exporters.
In the next two weeks, the United States will detail plans to equitably distribute about 80 million (8 crore) COVID-19 vaccine doses globally without 'political requirements' of those receiving them, Secretary of State Antony Blinken has said.
The rupee surged to its highest level in five weeks to end at 65.58 by gaining 38 paise against the US currency.
Overseas investors have made net investments of $1.2 billion in the Indian equity market during the first week of the month, taking the total for 2012 so far to a whopping $21 billion.
Foreign institutional investors were gross buyers of shares worth Rs 49,557 crore (Rs 495.57 billion), while they sold equities amounting to Rs 39,285 crore (Rs 392.85 billion), translating into a net inflow of Rs 10,273 crore ($1.85 billion), according to the data available with the Securities and Exchange Board of India.
Of the total investments made last month, P-note holdings in equities were at Rs 61,786 crore and the remaining in debt and derivatives markets.
The rupee had gained 90 paise, or 1.34 per cent.
The dollar's strength against other currencies overseas limited the rupee's gain.
The markets had touched their highest levels in a month.
The rupee had dropped by 6 paise to close at 66.65 in Thursday's trade.
The local currency had gained 7 paise to close at 66.57 in Monday's trade.
It does feel like we are close to the end of the rupee's rally, says Jamal Mecklai.
While the tax treatment does legitimise past crypto transactions, there is a possibility that any, or all, private cryptocurrencies will be banned in future.
In the past few days, many companies, including fashion e-tailer Nykaa, food delivery platform Zomato, logistics and delivery firm Delhivery, insurance discovery platform PolicyBazaar, eyewear retail chain Lenskart, and edtech and online tutoring firm Byju's, have openly spoken about their IPO plans.
The rupee had declined sharply against the US currency.
Of the total investments made last month, P-note holdings in equities were at Rs 72,321 crore and the remaining in debt and derivatives markets.
The rupee has lost 23 paise or 0.35 per cent in two days.
Infosys Technologies will seek shareholders' nod for the sponsored Amercian Depository Shares issue at its extraordinary general meeting scheduled on December 18.\n
Avista helped some companies restructure their debt in such a way that overseas investors had to take a steep haircut
Indian economist Kalpana Kochhar, who heads the Human Resources Department of the International Monetary Fund, is leaving the organisation to join the Bill and Melinda Gates Foundation, the IMF announced on Wednesday. Kochhar, who served in various senior positions during her three decades at the IMF, will retire on July 30, it said.
The sale is key to meeting the government's disinvestment target of Rs 2.1 trillion in the financial year 2020-21. So far, the disinvestment exercise has fetched the government Rs 34,845 crore during the current financial year.
We'll need to wait a couple of years to see how many restructured loans turn bad and whether some banks fall victim to their obsession for growth, explains Tamal Bandyopadhyay.
At issue size of Rs 10,355 cr, the offering will be Asia's biggest this year and fifth-largest domestically.
"The year 2010 has been one of strong growth for the Indian capital markets. Bulls tossed off the markets in the year 2010... following global recovery and with FIIs pumping money into the market," the Economic Survey said.
Analysts expect FII investments to reach Rs 5,000 to 6,000 crore (Rs 50 to 60 billion) in the Indian equity and bond market by the end of September.
Investors are trying to push ahead with dollar purchases, emboldened by improving market sentiments
Besides selling of dollars by exporters, strength in other currencies against the American unit overseas also supported the rupee.
Other losers included Maruti, Kotak Bank, Hero MotoCorp, Bajaj Auto, IndusInd Bank and Bajaj Finance, that shed up to 1.79 per cent.
Till now borrowings in the form of ECB were not permitted to be utilised for general corporate purpose.
Ongoing trade-war rhetoric between the US and China added some nervousness on the trading front coupled with extremely bullish dollar sentiment overseas.
Huge inflow thanks to low inflation levels and RBI rate cut
The dollar index was down by 0.02 per cent against a basket of six major currencies.
The government is likely to sell 20 per cent of its equity in Bharat Petroleum Corporation Ltd in the overseas market while another 15 per cent stake would be offloaded in the domestic markets.
Weakness of dollar in the overseas market also boosted the rupee value.
Small stocks made a dashing comeback in 2020 after delivering negative returns in the last two years as increased retail investor participation in pandemic times saw small-cap index surging up to 31 per cent and outperforming the bigger benchmark gauge. This year turned out to be eventful for the equity market, witnessing bearish and bullish sentiments at different points of time. While the initial part of COVID-ravaged 2020 saw the bears in full force amid concerns related to the pandemic and lockdowns hurting economic activities, bulls made a comeback towards the latter half of the year. As the market swayed with many lows as well as highs, small and mid-cap indices emerged as markets favourites in 2020.
The currency had gained by 88 paise in the past seven days.
Foreign institutional investors have been net investors to the tune of Rs 55,000 crore (Rs 550 billion) in equity markets this year so far. In contrast, domestic institutional investors have been net sellers over the past three months.
