FPIs promote Rs 24,753 crore in March amid market jitters, however outflows decelerate

Overseas Portfolio Traders (FPIs) have continued their promoting spree in Indian equities in March, with complete fairness outflows amounting to Rs 24,753 crore as of March 7, taking the overall to Rs 137354 crore in CY25 up to now.

Nonetheless, the tempo of promoting seems to have slowed down barely in current periods, in accordance with market specialists.

Dr. V Okay Vijayakumar, Chief Funding Strategist at Geojit Monetary Companies, famous that whereas the development of FII promoting in India continued in early March, there at the moment are indicators of slight decline within the intensifying within the final couple of days. Regardless of this, cumulative FPI fairness outflows for 2025 have already reached over Rs 1.30 lakh crore, reflecting a sustained risk-off sentiment amongst international buyers.

The continued outperformance of Chinese language equities has been a key issue diverting FPI flows from India.

“Chinese language shares have seen massive shopping for triggered by enticing valuations and expectations from the current optimistic initiatives by the Chinese language authorities in direction of their massive companies,” stated Vijayakumar.

The Dangle Seng Index has surged with a YTD return of 23.48%, considerably outperforming the -5% YTD return in Nifty, making China a extra enticing guess for some international buyers.Moreover, the current decline within the greenback index is predicted to restrict the fund flows to the US, which may influence future FPI motion.Additionally learn: Wall Road Week Forward: Rocky US inventory market faces inflation knowledge check

In the meantime, world uncertainties, together with Trump’s tariff insurance policies, have shifted investor focus in direction of home consumption-driven sectors comparable to financials, telecom, lodges, and aviation, as foreign-linked sectors stay unstable.

Whereas FPIs stay internet sellers, the slowdown in promoting depth may point out stabilization in Indian equities if macroeconomic situations enhance. Traders are cautious as they watch world elements and depend on the upcoming company earnings to evaluate whether or not international investor sentiment will flip favorable within the coming months.

(Disclaimer: Suggestions, recommendations, views and opinions given by the specialists are their very own. These don’t symbolize the views of The Financial Occasions)