FPIs turn net sellers; withdraw Rs 8,749 cr from equities in June

After investing a staggering amount in May, foreign investors turned net sellers with a withdrawal of Rs 8,749 crore from the Indian equity markets in the first week of this month triggered by renewed US-China trade tensions and rising US bond yields. This momentum follows a net investment of Rs 19,860 crore in May and Rs 4,223 crore in April, data with the depositories showed.

Prior to this, foreign portfolio investors (FPIs) had pulled out Rs 3,973 crore in March, Rs 34,574 crore in February, and a substantial Rs 78,027 crore in January. With the latest withdrawal, the total outflow has reached Rs 1.01 lakh crore in 2025 so far.

“This bearish sentiment was triggered by renewed US-China trade tensions and rising US bond yields, which steered investors towards safer assets,” Himanshu Srivastava, Associate director – Manager Research, Morningstar Investment, said.

ALSO READUpcoming IPO this week: No mainboard, 3 SME issues – Check price band, GMP and other key details

Besides, a US investigation into Adani Group’s alleged sanction violation on Iran further weighed down investor confidence and dragged down key equity indices, he added. However, the unexpected monetary action from the RBI, combining a 50 basis points repo rate cut with a 100 basis points CRR (Cash Reserve Ratio) reduction, boosted market sentiments significantly.

ALSO READDividends, bonus, stock splits, and more: Key corporate actions to watch this week

“With growth prospects in the US and China looking bleak, India stands out as a resilient economy which can deliver above 6 per cent growth in FY26. The only concern is the high valuations which leave not much room for the rally to continue,” VK Vijayakumar, Chief Investment Strategist, Geojit Investments, said.

Apart from equities, FPIs pulled out Rs 6,709 crore from debt general limit and Rs 5,974 crore from debt voluntary retention during June 2-6. They have been consistently selling in the debt market too due to the low differential in bond yields between US and Indian bonds, Vijayakumar added.

 » Read More

Related Articles

ITR filing 2025: Are you eligible for Rs 60,000 rebate under Section 87A? Here’s what taxpayers need to know

The Income Tax Return (ITR) filing season is in full swing. Like every year, taxpayers while filing their ITRs grapple with issues related to forms, rules or eligibility to claim certain deductions and exemptions. Among various other issues, this time one of the major confusions among taxpayers is being seen regarding the rebate available under

Jefferies flags warning signs after TCS layoffs, ‘this could lead to…’

IT firm, Tata Consultancy Services (TCS) plans to reduce its workforce by 2 per cent in the financial year FY26, as per media reports. The move is expected to affect around 12,200 jobs, from its total workforce of over 6.13 lakh. Jefferies believes the move could lead to short-term execution issues and a long-term spike

Market Coupling explained: A game changer for electricity trading – Why investors should pay attention

The country’s power regulator, CERC, has literally shaken up the power sector after it issued an order to implement market coupling from January 2026. According to the CERC order, it plans to initiate market coupling in the Day-ahead Market by February 2026. While the IEX share price has seen topsy-turvy moves as a result, it

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

0FansLike
0FollowersFollow
0SubscribersSubscribe
- Advertisement -

Latest Articles

ITR filing 2025: Are you eligible for Rs 60,000 rebate under Section 87A? Here’s what taxpayers need to know

The Income Tax Return (ITR) filing season is in full swing. Like every year, taxpayers while filing their ITRs grapple with issues related to forms, rules or eligibility to claim certain deductions and exemptions. Among various other issues, this time one of the major confusions among taxpayers is being seen regarding the rebate available under

Jefferies flags warning signs after TCS layoffs, ‘this could lead to…’

IT firm, Tata Consultancy Services (TCS) plans to reduce its workforce by 2 per cent in the financial year FY26, as per media reports. The move is expected to affect around 12,200 jobs, from its total workforce of over 6.13 lakh. Jefferies believes the move could lead to short-term execution issues and a long-term spike

Market Coupling explained: A game changer for electricity trading – Why investors should pay attention

The country’s power regulator, CERC, has literally shaken up the power sector after it issued an order to implement market coupling from January 2026. According to the CERC order, it plans to initiate market coupling in the Day-ahead Market by February 2026. While the IEX share price has seen topsy-turvy moves as a result, it

‘Not buying gold but silver because…,’ Jim Rogers explains his bullish bet 

Veteran investor and author Jim Rogers has reasserted his confidence in silver, adding that he will continue to hold gold and silver and that it would be part of his “estate for his children”, Economic Times reported. Rogers stated that he purchased more silver just last week and would continue to buy it if the price remains

TCS CEO says 2% workforce cut ‘not because of AI but to address…’

Tata Consultancy Services (TCS) plans to let go around 2% of its global workforce, which translates to over 12,000 employees, by 2026. This is part of a restructuring exercise to make the company more agile and technology aligned. ALSO READTCS to lay off 2% workforce, over 12,000 mid and senior grade employees to be impacted