Why foreign investors are still wary of Indian markets
Even though the Indian stock market has been doing well lately—Nifty 50 went up after the Union Budget and a new US-India trade deal—foreign institutional investors (FIIs) are still pulling money out.
By February 13, FIIs had sold stocks worth over ₹1,300 crore this month, including a huge sell-off of ₹7,395 crore in just one day.
So despite the good news, FIIs seem to be playing it safe for now.
What's the way forward for FIIs?
A mix of global interest rates and local factors is behind their moves.
Experts say things like a steady rupee and cheaper oil actually make India more attractive right now.
Plus, domestic investors have stepped up with big buys to help keep markets stable.
Looking ahead, some analysts believe that once current issues—especially in IT—settle down and company earnings improve, FIIs will likely return to Indian stocks.