Indian equity benchmarks closed July with a second consecutive monthly gain, as foreign portfolio investors continued to pour capital into the market despite a broader global rotation out of artificial intelligence stocks.
The Nifty 50 index rose 0.27% to finish at 24,383.60, while the BSE Sensex gained 0.21% to 78,094.64 on Friday, capping a month of resilience amid shifting global risk sentiment.
The gains were driven by a combination of upbeat corporate earnings reports and a supportive macroeconomic backdrop, including lower oil prices that have eased inflationary pressures on the Indian economy.
Foreign inflows remained a key pillar of support, with investors viewing Indian equities as a relative safe haven compared to more volatile tech-heavy markets in the US and Asia.
This trend extends the winning streak observed earlier in the month, when Indian markets bucked a wave of selling pressure that swept through AI-linked stocks across the region.
The divergence from global tech trends highlights the structural strength of India's domestic demand and its diversified market composition.
While AI-related stocks faced headwinds globally, Indian IT and manufacturing sectors benefited from steady order books and cost efficiencies.