Foreign portfolio investors (FPIs) extended their robust selling streak in the Indian market, making a sharp turnaround to become net sellers in October amid ongoing geopolitical tensions and cheaper valuations in the Chinese stock market. This comes after an aggressive buying streak recorded in September, when FPI inflows hit year-to-date (YTD) highs and a nine-month high following the massive 50 basis points (bps) rate cut by the US Federal Reserve.
According to the data of the National Securities Depository Ltd (NSDL), the FPIs have been relieved ₹85,790 crore of Indian equities, and the net outflow was ₹89,977 crore as on October 25, taking into account debt, hybrid, debt-VRR and equity. FPI outflows in October hit a 10-month high, marking the highest sell-off in the Indian market YTD. In October, total debt investment was ₹410 crores.
