Mumbai, May 10: Foreign Portfolio Investors (FPIs) have remained net sellers in the Indian stock market, having sold ₹14,232 crores since the beginning of this month, as of May 8. Experts suggest that this trend may continue due to global instability and rising crude oil prices.
So far in 2026, total FPI sales through exchanges have reached ₹2,18,540 crores. However, the trend of FPI investments in primary markets continues, with total investments amounting to ₹12,340 crores this year.
Dr. VK Vijaykumar, Chief Investment Strategist at Geojit Investments, stated, “Although FPIs are net sellers, they are investing in sectors such as energy, construction, and capital goods. Another significant trend is that FPIs are prioritizing mid-cap and selectively small-cap stocks that show high growth potential and are performing well.”
Concerns regarding currency depreciation and income growth in India have been major factors behind the selling by foreign investors this year.
He added, “The anticipated impressive income growth in markets like South Korea and Taiwan, driven by the AI boom, has significantly attracted FPI flows.”
Following the results of state assembly elections, foreign investors started the week with a positive outlook, buoyed by the strong performance of the ruling party at the center. However, due to rising geopolitical tensions and volatility in crude oil prices, they remained net sellers in the remaining four sessions of the week.
Pabitra Mukherjee, Associate Vice President-Research at Bajaj Broking, noted, “Due to geopolitical tensions, high oil prices, and a weak rupee, FIIs have remained net sellers over the past few months, and it is likely they will continue this trend for the rest of the year.”
The Nifty index traded within a limited range with high volatility last week, closing with a 0.7 percent gain for the second consecutive week.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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