Foreign portfolio investors (FPIs) have made a strong comeback to Indian equity markets in November, pumping in ₹53,739 crore so far, according to the latest NSDL data. The inflows mark a sharp turnaround after sustained selling pressure through much of 2026, with FPIs remaining net sellers in eight of the first ten months of the year.
The latest buying has helped narrow the cumulative net outflows from Indian equities to ₹2.41 lakh crore in 2026. FPIs had withdrawn ₹35,962 crore in January, followed by net inflows of ₹22,615 crore in February. However, selling intensified in March, with outflows of ₹1.18 lakh crore, and continued through June. July and August briefly brought some relief, with inflows of ₹20,200 crore and ₹29,631 crore, respectively, before foreign investors returned to selling in September and October.
November's strong inflows raise the question of whether foreign investors are turning more positive on Indian equities after a prolonged period of caution.
Dr V K Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, said Indian equities witnessed a sharp reversal in institutional activity last week, with foreign portfolio investors (FPIs) turning aggressive buyers while domestic institutional investors (DIIs) emerged as net sellers on all trading days.
The aggressive FPI buying triggered a short squeeze, pushing the Nifty up 7.58% in a week, he said.