By Vineet Kumar 
In the past five trading sessions, Foreign Portfolio Investors (FPIs) withdrew around ₹20,000 crore from the Indian stock market, driven by several key factors. Rising U.S. bond yields have made American assets more attractive, pressuring emerging markets like India. Additionally, geopolitical tensions in the Middle East and ongoing concerns over global economic slowdown have made FPIs cautious. This large outflow has impacted key indices such as the Nifty 50 and Sensex, causing declines as investors shift funds to safer assets in the U.S. and other stable markets.
This sell-off highlights the sensitivity of FPIs to global economic and political dynamics, which may lead to further short-term volatility in Indian equities until these international pressures stabilize. Indian investors are advised to consider these trends when planning their portfolios, particularly in large-cap stocks, which have been more affected by this FPI movement.