Foreign Portfolio Investors (FPIs) have withdrawn Rs. 52,100 crore has been withdrawn. High crude oil prices, rising bond yields in the US and a strong dollar have weakened investor confidence. This has increased the pressure on the Indian stock market. According to Central Depository Services Limited (CDSL) data, foreign investors in September also pulled Rs. 35,861 crore was withdrawn. Earlier in July, he paid Rs. 20,200 crore and in August it invested Rs. 29,631 crore had been invested. With this withdrawal in October, foreign investors have already withdrawn Rs 3.12 lakh crore from the Indian stock market in 2026. In this entire year 2025 withdrawn Rs. 1.66 lakh crore is much higher than the amount.

What do the experts say?

Dheeraj Gaur, chief investment strategist at Choice Wealth, said higher yields on government bonds in the US, a strong dollar and rising crude oil prices have led foreign investors to continue selling Indian stocks. The high level of inflation in the US is also raising fears of an increase in interest rates. This makes American assets more attractive to foreign investors. He said that expensive crude oil is putting additional pressure on the Indian economy. Apart from this, due to the increase in the shares of AI related companies in the North Asian markets, foreign capital is going to those markets instead of India.

A fall in bond yields

On October 16, foreign investors made some purchases. According to VK Vijayakumar, chief investment strategist at Geojit Investments Ltd, yield on 10-year government bonds in the US fell from over 5.3 per cent to 5.08 per cent and the strengthening of the rupee against the dollar are the main reasons for the temporary change in foreign investor sentiment.

Pavitro Mukherjee, deputy vice-president-research at Bajaj Broking, said the sharp decline in selling by foreign investors and the change in investment sentiment on Friday is an indication that investor sentiment in the market may be stable. However, high crude oil prices are still a threat to the market’s recovery.

Meanwhile, foreign investors have also sold in the debt or bond market in September. They have through full access route Rs. 1,620 crore and under voluntary retention route Rs. 772 crore was withdrawn. However, through the normal route, he paid Rs. 3,387 crore had been invested.