Foreign portfolio investors (FPIs) have staged a sharp reversal in their investment strategy, pouring Rs 84,290 crore into Indian equities during the first 13 days of November after two successive months of heavy selling. The turnaround comes as global investors reassess their exposure to technology-heavy markets amid a sell-off in artificial intelligence-linked stocks and find Indian large-cap shares increasingly attractive.
Data from depositories showed that foreign investors made net equity purchases worth Rs 84,290 crore between November 2 and 13, spanning nine trading sessions. The buying spree follows net withdrawals of Rs 34,843 crore in October and Rs 35,861 crore in September.
The latest inflows have also brought down cumulative FPI withdrawals from Indian equities in 2026 to approximately Rs 2.1 lakh crore, from nearly Rs 3 lakh crore recorded a few weeks ago.
However, market participants caution that the latest surge in foreign buying may not necessarily signal a sustained return of overseas capital.
"November's foreign buying is a sharp tactical turn, not yet a structural return. Falling crude and money rotating out of the crowded Asian AI trade have pushed FPIs to close an extreme underweight on India, and most of that buying has gone into index heavyweights," said Vedant Gupte, Co-Founder and CEO of investment platform Trackk.