FPIs Pull Out ₹3,765 Crore from Equities in November
Foreign portfolio investors resumed selling in the Indian equity market in November, withdrawing a net ₹3,765 crore. This marks a reversal from October, when FPIs had infused more than ₹14,000 crore after months of outflows.
Global Factors Drive Renewed Selling
Analysts attribute the reversal to global risk-off sentiment. Concerns over interest-rate trends in major economies, a strengthening U.S. dollar, and volatility in global equity markets pushed investors toward safer assets. High valuations in Indian markets also contributed to the cautious approach.
Impact on Key Sectors
Sectors with stretched valuations, including information technology and select consumer stocks, witnessed the most pressure from FPI selling. However, flows in debt markets remained relatively stable, with some investors shifting toward bonds amid rising global uncertainty.
Market Outlook Remains Mixed
Experts say foreign flows may remain volatile in the coming weeks due to global economic signals. At the same time, strong domestic earnings and continued stability in India’s macroeconomic indicators could attract FPIs back into specific sectors.
