FPI Selling in Indian Stock Market: The effect of increasing military tension in the Middle East is being seen in the global markets as well as the Indian stock market. The situation in the region has become more serious after the attacks on Iran by Israel and America. Due to which the concern of investors has increased. Amidst this uncertain environment, there has been a sharp decline in the domestic stock market last week.

At the same time, foreign portfolio investors have also not expressed their confidence in Indian companies during this period. Talking about the figures, foreign portfolio investors have withdrawn about Rs 21,000 crore from the Indian market in just four trading sessions last week. Let us know about this topic in detail….

FPIs are maintaining distance from the domestic market

Amidst the decline in the market, FPIs have sold shares worth about Rs 21 thousand crores. However, just before this, the attitude of foreign investors had appeared positive regarding the Indian market. In the month of February, he invested about Rs 22,615 crore. Which is considered to be the biggest purchase made in any one month in the last 17 months.

Foreign investors sold continuously for three months

Foreign investors have continuously withdrawn money from the Indian stock market in the last few months. According to depository data, FPIs sold shares worth Rs 35,962 crore in January. Whereas in December this figure was Rs 22,611 crore.

Earlier in November also he had sold Rs 3,765 crore. In the recent period between March 2 and 6, foreign investors sold shares worth about Rs 21,000 crore in the cash market. Market experts believe that due to increasing geopolitical tension in West Asia, the attitude of foreign investors remains cautious at present.

Iran-Israel war spoiled the atmosphere

There is uncertainty in the entire West Asian environment due to joint military action by America and Israel and retaliatory attacks by Iran. The effect of which is being seen on the entire global market including the Indian market. There was a tremendous decline in the domestic market last week. Lakhs and crores of rupees of investors were wiped out within a short time.

Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)

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FIIs Outflow India: The first week of December was negative for foreign investment in the Indian stock market. In the first week of December alone, foreign portfolio investors (FPIs) have withdrawn Rs 12,055 crore from the Indian stock market.

Foreign investors sold shares worth a total of Rs 11,820 crore and also sold debt (bonds) worth Rs 531 crore. However, in the month of November, FPIs expressed confidence in the Indian market and invested Rs 4,113 crore. The change seen in the investment pattern shows that the investment trend of foreign investors is changing. Let us understand this whole mathematics from figures…

Foreign investors are showing less confidence in the Indian market

Talking about the figures, in the month of November, foreign investors have withdrawn Rs 3,765 crore from the Indian stock market. However, in October investors had purchased Rs 14,610 crore. Earlier, there was a period of strong selling in the three months of July, August and September. FPIs have sold a total of Rs 17,700 crore in July, Rs 34,990 crore in August, and Rs 23,885 crore in September.

According to the latest data of NSDL, after adding the selling in the first week of December, till now in the year 2025, FPIs have withdrawn Rs 1.55 lakh crore (about $ 17.7 billion) from the market.

Domestic investors took over the market

Due to buying by domestic investors, not much impact of this selling by foreign investors was seen in the stock market. Domestic institutional investors made huge purchases of about Rs 19,783 crore during this period.

The reason behind this could be the recent economic report. Because of which domestic investors are expressing confidence in the market. Besides, recently RBI has also announced reduction in repo rate. Which can help the market.

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Indian Stock Market 0utflow: Foreign portfolio investors (FPIs) have made huge withdrawals from the Indian stock market in the month of November. Foreign investors sold shares worth a total of Rs 3,765 crore. According to market experts, lack of risk taking ability at the global level and fluctuations in shares of the technology sector could be the reason for this.

According to a report published in Moneycontrol Hindi, in the month of October, FPI had invested about Rs 14,610 crore in the Indian stock market, expressing confidence in it. However, before this, foreign investors had withdrawn Rs 23,885 crore from the market in September, Rs 34,990 crore in August and Rs 17,700 crore in July. Let us know why foreign portfolio investors are avoiding betting on the Indian market….

1. Wakarjaved Khan, Senior Fundamental Analyst at Angel One, told Moneycontrol Hindi that foreign investors are adopting a cautious approach amid the ongoing risks at the global level. Also, the recent fluctuations in technology shares have been the reason for this selling.

According to VK Vijayakumar, Chief Investment Strategist, Geojit Investments, there is no clear evidence of change in attitude among foreign investors. He said that, along with selling for some days, foreign investors also bought for some days. Which is an indication that, if the circumstances change, foreign portfolio investors can change their flow direction.

2. According to the PTI report, regarding the selling by foreign portfolio investors, market experts believe that due to the strengthening of dollar prices, geopolitical tension, ongoing turmoil at the global level, uncertainty regarding interest cut by the US Fed, foreign portfolio investors are showing less confidence in the Indian market.

Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)

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