Foreign portfolio investors (FPIs) extended their robust selling streak in the Indian market, taking a sharp U-turn in October to turn net sellers amid the ongoing geopolitical tensions and cheaper valuations in the Chinese stock market. This comes after an aggressive buying streak recorded in September when FPI inflows were the most year-to-date (YTD), hitting a nine-month high after the supersized 50 basis points (bps) interest rate cut by the US Federal Reserve.
According to the National Securities Depository Ltd (NSDL) data, FPIs offloaded ₹85,790 crore worth of Indian equities, and the net outflow stood at ₹89,977 crore as of October 25, taking into account debt, hybrid, debt-VRR, and equities. October’s FPI outflow hit a 10-month high, the highest sell-off from the Indian market YTD. In October, the total debt investment was ₹410 crore.
