Financials and FMCG Lead FPI Outflows as IT Stocks Buck Trend
· Business · Economic Times
Foreign portfolio investors offloaded shares across major sectors during the first half of October, with financial services and FMCG recording the heaviest outflows at ₹8,634 crore and ₹8,172 crore respectively. Automobile, healthcare, and telecom sectors also faced substantial selling pressure amid rising US Treasury yields, elevated crude oil prices, and currency uncertainty. Conversely, IT stocks bucked the broader trend by attracting ₹2,599 crore in foreign investments during the same period. Equirus Securities CEO Vishad Turakhia noted that consumption, financials, and autos are facing scrutiny over earnings growth, funding costs, and valuations. Capital goods, metals, and oil and gas stocks also witnessed notable foreign capital outflows.
Why it matters
Persistent foreign outflows put downward pressure on domestic equities and the rupee, affecting valuations across major Indian sectors while selective buying provides relief to the IT industry.
Read the original report — Economic Times
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