The Indian rupee depreciated by 43 paise to close at 94.81 against the US dollar, influenced by a negative trend in domestic equity markets, surging crude oil prices, and significant foreign institutional investor outflows.
"When you have more liquidity than good investment opportunities, there is no reason for MFs to sell a winning trade."
Portfolio investors based out of the US and other countries with which India does not have favourable tax treaties will have to pay a 15 per cent tax on their derivative transactions, after the Budget decided to classify income from all foreign portfolio investment as capital gains.
Foreign Portfolio Investors (FPIs) have withdrawn over Rs 62,853 crore from Indian equities in the first fortnight of June, bringing the total outflows for 2026 to Rs 2.87 lakh crore, surpassing the entire 2025 figure, driven by geopolitical tensions, global economic growth concerns, and a weakening rupee.
Foreign Portfolio Investors (FPIs) have withdrawn nearly Rs 43,000 crore from Indian equities in the first week of June, contributing to a total outflow of Rs 2.67 lakh crore in 2026, driven by a global shift towards technology and AI-linked opportunities and persistent rupee depreciation.
Foreign Portfolio Investors (FPIs) have withdrawn Rs 27,048 crore from Indian equities so far in May, bringing the total outflows for 2026 to Rs 2.2 lakh crore, driven by global macroeconomic and geopolitical uncertainties.
Analysts predict that crude oil prices and the ongoing US-Iran conflict will be the primary drivers of stock market movements, with investors also closely watching the Jackson Hole symposium for cues on interest rates.
Foreign Portfolio Investors (FPIs) withdrew nearly Rs 33,000 crore from Indian equities in May, bringing the total outflow for 2026 to Rs 2.25 lakh crore, driven by weak earnings growth, rupee depreciation, and more attractive opportunities in other global markets.
Foreign Portfolio Investors (FPIs) have withdrawn Rs 14,231 crore from Indian equities so far in May, extending the total outflow for 2026 to over Rs 2 lakh crore, driven by persistent global macroeconomic uncertainties including inflation, interest rates, and geopolitical risks.
Global brokerage Citi has reduced its Nifty 50 index target to 26,000 from 27,000, citing persistent geopolitical tensions, risks to corporate earnings growth, and concerns about India's role in the global artificial intelligence (AI) ecosystem.
Shares will be allocated across different institutional investors, including domestic mutual funds, other domestic institutions and FPIs.
Foreign investors have withdrawn a record Rs 1.14 lakh crore from Indian equities in March, driven by geopolitical tensions, a weakening rupee, and concerns about crude oil prices.
Analysts predict that inflation data, the US Federal Reserve's interest rate decision, and crude oil price trends will be the primary factors influencing the movement of Indian stock markets. Geopolitical developments, particularly the US-Iran deal, and foreign investor activity will also play a crucial role.
August 2026 witnessed a significant surge in India's primary market, with 21 mainboard initial public offerings (IPOs) raising approximately 21,000 crore, marking the highest monthly deal count of the year, even as benchmark indices experienced declines.
Foreign Portfolio Investors (FPIs) have withdrawn Rs 19,837 crore from Indian equities in the first two trading sessions of April, extending a significant selling trend from March, driven by geopolitical uncertainty, rising crude oil prices, and a depreciating rupee.
In the past four months, $7.5 billion has flowed back into domestic stocks, helping the benchmark indices bounce back more than 40 per cent from their 2020 lows.
India's balance of payments (BoP) recorded an $8.1 billion deficit in the first quarter of 2026-27 (Q1FY27), a significant increase from a $4.5 billion surplus in the corresponding period of the previous year, primarily driven by a sharp reversal in portfolio flows.
Foreign investors have withdrawn over Rs 88,000 crore from Indian equities this month, driven by geopolitical tensions, a weak rupee, and concerns about rising crude oil prices.
IT stocks had their worst first half fall in decades, with the Nifty IT index declining 31% in the January-June 2026 period, its biggest decline in the first six months of a calendar year since 2003.
India's net foreign direct investment (FDI) surged more than fourfold to $6.58 billion in April 2026, driven by a significant increase in equity inflows and reduced repatriation by foreign investors, according to the Reserve Bank of India (RBI).
Domestic Institutional Investors (DIIs) have significantly increased their holdings in Nifty 500 companies, reaching a record 20.9 per cent by the end of March, while Foreign Portfolio Investors (FPIs) reduced their ownership to an all-time low of 17.1 per cent, according to Motilal Oswal Financial Services.
Stock markets are likely to trade in a range-bound manner in a holiday-shortened week where trading activity of foreign investors, currency movement and global macroeconomic data announcements are expected to drive sentiments, analysts said. Several global markets may see subdued activity on account of Christmas and New Year holidays, an expert said.
88 per cent of individual traders lost money during FY26. Until we recognise gambling dressed up as option buying for what it is, we will keep treating the wrong disease, asserts Harsh Roongta.
India's real estate sector recorded an unprecedented $9.5 billion in capital inflows during Q3 2026, primarily driven by foreign investors' strong interest in data centres, according to a CBRE Group report.
The Securities and Exchange Board of India (Sebi) is set to expand its artificial intelligence (AI)-based surveillance beyond trading data to include corporate filings, aiming to proactively flag financial misstatements and manipulation in quarterly results without relying solely on investor complaints.
Mid and smallcap mutual fund schemes in India have quadrupled their assets under management (AUM) to 10 trillion in five years, driven by strong investor inflows and market gains, with experts anticipating continued growth despite mixed valuations.
The Securities Appellate Tribunal (SAT) has dismissed Ketan Parekh's appeal challenging Sebi's denial of his request to cross-examine two traders from Capital Group, related to an alleged front-running scheme.
Indian benchmark indices Sensex and Nifty experienced a significant tumble in early trade, primarily driven by heavy selling in HDFC Bank following its quarterly earnings and a sharp spike in Brent crude oil prices due to escalating tensions between the US and Iran. Track Sensex, Nifty
The Reserve Bank of India's Financial Stability Report indicates that the interim peace deal between the US and Iran has favourably shifted the balance of risks, reducing headwinds from the West Asia conflict. However, it cautions that exchange rate volatility could increase if crude oil prices spike due to delayed normalisation of supply chain disruptions.
These new provisions are expected to help heirs access securities faster.
That means making it easier to invest, protecting investors through predictable rules, and avoiding policy reversals after investments have been made, notes Rajeswari Sengupta.
FPIs have already withdrawn Rs 2.6 trillion from Indian equities in 2026, exceeding the outflows recorded in any previous full calendar year.
...exceeding their 49,340 crore equity selloff.
Domestic institutional investors (DIIs), driven by the popularity of mutual funds, have emerged as significant stabilising forces for Indian capital markets amidst global volatility and foreign portfolio investment (FPI) outflows, according to Sebi whole-time member Amarjeet Singh.
HDFC Bank's share in active mutual fund schemes has fallen to multi-year lows, despite overall MF ownership in the bank rising, as the stock faces weak performance, soft margins, and governance concerns.
Amidst a sharp run-up in gold and silver prices, investors are advised to rebalance their portfolios by booking partial profits in precious metals and reallocating to domestic equities and debt, according to financial experts.
Global payments solution major Mastercard has fully exited Indian fintech firm Pine Labs, selling its entire 4.31 per cent stake for Rs 933 crore through block deals on the BSE.
India's market regulator, Sebi, is set to issue a consultation paper proposing changes to the methodology for determining settlement prices of derivative contracts, following significant feedback and 'sharp price spikes and distortions' observed during the recently implemented Closing Auction Session (CAS) mechanism.
Analysts predict that the Reserve Bank of India's interest rate decision, crude oil prices, and global bond yields will be the primary factors influencing the Indian stock market this week, alongside macroeconomic data and foreign investor activity.
The benchmark BSE Sensex's trailing 12-month price-to-earnings (P/E) multiple has declined to 20.2x, its lowest since May 2020, driven by a record $42 billion FPI selloff since September 2024 and concerns over corporate earnings and economic growth.
