Foreign investors are withdrawing money
Foreign investors can continuously sell from the market amidst global uncertainties and geopolitical tensions. Foreign portfolio investors have so far withdrawn Rs 7,945 crore from the Indian stock market. According to depository data, after a huge withdrawal of Rs 34,990 crore in August and 17,700 crore in July, in 2025, FPI sold a total of Rs 1.38 lakh crore.
According to the PTI report, market experts say that Progress in India and America will affect FPI investment next week in the economic figures and trade talks. However, in September, FPIs are mostly in selling mood. By 19 September, he sold a share of Rs 7,945 crore. But last week when the US Federal Reserve cut the interest rate by 0.25%, the FPI also purchased Rs 900 crore.
Senior analyst Waqjaved Khan, Senior Analyst of Angel One Limited, said that after the rate cut of Federal Reserve, FPI made a purchase of Rs 900 crore this week. Two more cuts are expected in 2025, which may increase liquidity in the global market. Nevertheless, FPIs are in net selling in September.
Why are you withdrawing money?
Himanshu Srivastava, head of Morningstar Investment Research India, said that this week foreign investors made a little comeback to the Indian stock market. The softened trend of the US Federal Reserve, a decrease in the Indo-America Trade Dispute and the stable economic environment of India improved. But he warned that global uncertainty and geopolitical risk are affecting investment.
VK Vijaykumar, Chief Investment Strategist of Jiojit Financial Services, said that along with selling in India, FPI has purchased in Asian markets like Hong Kong, Taiwan and South Korea. This strategy has been successful this year, but it can change in future. On the other hand, FPI has invested in the bond market.