Foreign portfolio investors (FPIs) have withdrawn Rs 52,100 crore from Indian equities in October so far, as elevated crude oil prices, higher US bond yields and a stronger dollar weighed on investor sentiment.
The latest outflow follows a net withdrawal of Rs 35,861 crore in September. FPIs had invested Rs 20,200 crore in Indian equities in July and Rs 29,631 crore in August, according to data from the Central Depository Services Ltd (CDSL).
With the latest selling, cumulative FPI outflow from Indian equities in 2026 has reached Rs 3.12 lakh crore, way higher than the Rs 1.66 lakh crore withdrawn during the entire 2025, the data showed.
Dheeraj Gaur, Chief Investment Strategy Officer at Choice Wealth, said FPIs continued to sell Indian equities amid elevated US bond yields, a stronger dollar and rising crude oil prices.
Sticky US inflation has also fuelled expectations of a Federal Reserve rate hike, making US assets more attractive to foreign investors, he said.