FPIs pull out Rs 52,100 crore in October

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Foreign portfolio investors (FPIs) pulled out ₹52,100 crore from Indian equities in October due to high US bond yields, crude prices, and dollar strength.

FPIs pull out Rs 52,100 crore in October
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FPIs pull out Rs 52,100 crore in October

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New Delhi: Foreign portfolio investors (FPIs) have withdrawn Rs 52,100 crore from Indian equities in October so far, as elevated crude oil prices, higher US bond yields and a stronger dollar weighed on investor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 net withdrawals of Rs 35,861 crore in September. FPIs had invested Rs 20,200 crore 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FPI outflows from Indian equities in 2026 have reached Rs 3.12 lakh crore, nearly double the Rs 1.66 lakh crore withdrawn during the entire 2025. Dheeraj Gaur, Chief Investment Strategy Officer at Choice Wealth, said elevated US bond yields, a stronger dollar and rising crude oil prices continued to weigh on Indian equities.

Sticky US inflation has fuelled expectations of a Federal Reserve rate hike, making US assets more attractive to foreign investors. Expensive crude is adding to India’s economic pressures, while the artificial intelligence-led rally in North Asian markets is drawing funds away from domestic equities, he added.

Foreign investors, however, turned marginal buyers on October 16, although the reversal is likely to be tactical rather than a structural shift in sentiment.

V K Vijayakumar, Chief Investment Strategist at Geojit Investments, said the decline in the US 10-year bond yield from above 5.3 per cent to 5.08 per cent and the rupee’s strengthening against the dollar contributed to the temporary change.

The Hans India
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