Foreign portfolio buyers withdraw Rs 4,800 crore from Indian equities amid world uncertainty – OXBIG NEWS NETWORK-OxBig News Network

Foreign portfolio inventors, this week, reversed May’s general internet inflows, withdrawing Rs 4,84.32 crore between May 19 and May 23. The FPIs turned internet sellers in Indian equities, as the entire funding now stands at Rs 13, 835 crore, down from the Rs 18,620 crore registered over the earlier week, the information from National Securities Depository Ltd reported, quoted by ANI.The knowledge reveals that overseas buyers pulled out virtually Rs 4,800 crore value of investments simply in 5 buying and selling periods.This withdrawal got here regardless of a powerful begin to the week, with optimistic inflows reported on Monday and Tuesday. The bulk of this sharp sell-off got here on Wednesday, May 21, when FPIs dumped over Rs 10,000 crore value of shares in a single buying and selling session. With this week’s promoting spree, overseas buyers have now pulled out a internet Rs 98,516 crore from Indian equities to this point in 2025, indicating that overseas buyers proceed to stay cautious amid the continuing world uncertainty.However, market specialists say the withdrawals are most likely as a consequence of exterior components relatively than any basic weak point in Indian markets.One of the foremost causes could possibly be the persisting turmoil within the world bond markets.“This kind of up-and-down flow points to the turmoil in global bond markets, which is impacting leveraged funds or carry trade funds. These investors are pulling out profits from Indian markets to meet liquidity needs elsewhere,” stated Ajay Bagga, a banking and market skilled, talking to ANI.He additional added that one other chance could possibly be that FPIs are enjoying the choices market, “moving option premiums by trading the underlying shares in the cash segment. That could explain why index heavyweights were sold on certain days and why sharp reversals followed.”Analysts described the current pattern as a “hot money” motion, speedy and speculative investments, relatively than a sign of India’s financial fundamentals weakening.Despite the current volatility, April noticed a internet FPI influx of Rs 4,223 crore, hinting at a significant shift in sentiment. Over the earlier months, FPIs had withdrawn Rs 3,973 crore in March, Rs 78,027 crore in January, and Rs 34,574 crore in February.