Overview
- Foreign portfolio investors pulled Rs 19,837 crore from Indian equities in the first two trading sessions of April, lifting 2026 net outflows to about Rs 1.5 lakh crore, according to NSDL.
- They also withdrew a net Rs 23,801 crore over the latest week, extending a selloff that followed February’s brief inflow and March’s record monthly exit.
- Market strategists link the pullback to the West Asia conflict, crude oil above $100 a barrel, a weaker rupee, and a stronger dollar that erodes returns when money is converted back.
- Rising US bond yields now offer richer fixed‑income payouts, prompting investors to shift cash from riskier markets like India to government debt abroad.
- Experts say valuations have eased and look better in some pockets, yet they expect foreign buying to revive only if geopolitical tensions cool and oil and currency pressures ease.