Foreign portfolio investors (FPIs) extended their robust selling streak in the Indian market, with the sell-off hitting a record high in October amid ongoing geopolitical tensions and cheaper valuations in the Chinese stock market. The FPI outflows recorded in October were the highest ever in a single month in Indian markets. FPIs turned net sellers in October after a sharp U-turn over global cues.
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 ₹19,994 crore worth of Indian equities, and the net outflow stood at ₹16,477 crore as of November 8, 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 reduced to ₹2,896 crore.
