Foreign portfolio investors (FPIs) have begun 2026 with restraint, extending last year’s selling streak by pulling out Rs 7,608 crore (USD 846 million) from Indian equities in the first two trading sessions of January. The early outflow comes on the back of a difficult 2025, when FPIs withdrew a record Rs 1.66 lakh crore (USD 18.9 billion) from the market. ADVERTISEMENTThe sell-off was driven by volatile currency movements, global trade tensions, concerns over possible US tariffs and stretched equity valuations. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, believes foreign investors may rethink their stance as domestic conditions improve. According to NSDL, FPIs sold nearly Rs 7,608 crore worth of Indian equities between January 1 and 2.

Source: The Telegraph January 04, 2026 10:11 UTC