FPIs infuse Rs 19,675 crore in early February after months of heavy selling

Foreign Portfolio Investors (FPIs) staged a crisp turnaround successful aboriginal February, infusing Rs 19,675 crore into Indian equities successful the archetypal fortnight, buoyed by the US-India commercialized woody and easing planetary macroeconomic concerns.The inflows travel aft 3 consecutive months of important outflows. FPIs had pulled retired Rs 35,962 crore successful January, Rs 22,611 crore successful December, and Rs 3,765 crore successful November, arsenic per information from depositories.

2025 sees steep nett outflows contempt February buying

Despite the caller buying, wide overseas capitalist sentiment successful 2025 has remained weak. FPIs person pulled retired a nett Rs 1.66 lakh crore ($18.9 billion) from Indian equities truthful acold this year, marking 1 of the worst phases for overseas money flows.The earlier selling was attributed to volatile currency movements, planetary commercialized tensions, concerns implicit imaginable US tariffs, and stretched equity valuations.As per the depository data, FPIs invested Rs 19,675 crore successful February truthful acold (till February 13).

Softer US inflation, unchangeable home macros assistance sentiment

According to quality bureau PTI, Himanshu Srivastava, main manager–research astatine Morningstar Investment Research India, said the caller buying was supported by easing planetary macro concerns, peculiarly softer US ostentation data.

This, helium noted, led to affirmative sentiment astir the involvement complaint cycle, helping stabilise enslaved yields and the US dollar, thereby improving hazard appetite toward emerging markets, including India.He added that dependable home macroeconomic indicators, unchangeable inflation, and broadly in-line firm net reinforced assurance successful India’s maturation outlook.Echoing akin views, Vaqarjaved Khan, elder cardinal expert astatine Angel One, said the inflows were triggered by the US-India commercialized deal, a supportive Union Budget 2026 with fiscal stimulus measures, easing planetary commercialized uncertainties, and unchangeable home involvement rates.

Selling unit persists contempt affirmative sessions

However, contempt the affirmative header inflow figure, FPIs person remained nett sellers connected a month-to-date basis.According to PTI, FPIs were nett buyers connected 7 of the eleven trading sessions successful February up to the 13th, turning sellers connected lone 4 occasions. Yet, information shows they person nett sold equities worthy Rs 1,374 crore truthful acold this month.The wide fig was skewed by a crisp sell-off of Rs 7,395 crore connected February 13, erstwhile the Nifty 50 declined by 336 points.The week besides witnessed dense selling successful IT stocks amid the alleged “Anthropic shock”. VK Vijayakumar, main concern strategist astatine Geojit Investments, said it is apt that FPIs aggressively offloaded IT stocks successful the currency market, arsenic the IT scale plunged 8.2 per cent during the week ended February 13.