One of the promising features of the current market is that domestic institutions seem to have turned buyers after a very long time. They have been net buyers this month with inflows exceeding by Rs. 80 crore till early this month. That admittedly a small amount, but its significance lies in the fact that domestic institutions have been net sellers every month this financial year except in September when their net purchases amounted to a microscopic Rs. 28 crore. This financial year's net sales by domestic institutions amounted to Rs. 2964 crore, which has substantially offset the net inflows of Rs. 3187 crore by FIIs. The net purchases by domestic institutions could indicate that money is once again owing into equity funds, eager not to miss the widely expected rally. Part of this reason could be a shift in investor portfolios, as people lighten up on debt and put that money into equity.

Question 198

The equity market is expected to experience a subdued activity in near future.


It is not clear from the passage that equity market is expected to experience a subdued activity in near future, hence above statement is definitely false.

Thus, the inference is “definitely false”.

=> Ans - (E)

Create a FREE account and get:

  • Banking Quant Shortcuts PDF
  • Free Banking Study Material - (15000 Questions)
  • 135+ Banking previous papers with solutions PDF
  • 100+ Online Tests for Free


Boost your Prep!

Download App