Foreign portfolio investors pulled ₹44,166 crore from Indian equities in October, a swing that has driven the Nifty’s year‑to‑date return to –13.9%.
The total outflow for 2026 now exceeds ₹3 lakh crore, a stark jump from the ₹1.7 lakh crore recorded in all of 2025. September’s net withdrawal was ₹35,861 crore, while July and August saw net inflows of ₹20,200 crore and ₹29,631 crore respectively, according to NSDL data.
Analysts point to a confluence of factors: crude‑oil prices hovering above $90, a firmer U.S. dollar, and rising U.S. Treasury yields, all dampening risk appetite. The AI‑led rally in North‑Asian markets has drawn capital elsewhere, compounding the sell‑off in India.
VK Vijayakumar, chief investment strategist at Geojit Investments, said FPI selling was the primary driver behind the market’s underperformance this year. He noted that the Nifty’s negative YTD return of 13.9% is largely attributable to sustained outflows.
Traders will look to next week’s corporate earnings—particularly from Wipro and HCL Technologies—alongside inflation data and global crude movements for guidance. The rupee has been trading in a narrowing band, while U.S. Treasury yields remain elevated, both of which could influence future FPI sentiment.
In the near term, market participants will monitor the balance of FPI flows, the trajectory of oil prices, and the upcoming earnings calendar for signs of a potential rebound or further sell‑off.