New Delhi, 14 June (H.S.): Foreign investors have continued their selling streak in the Indian stock market, maintaining their position as net sellers for most of the calendar year 2026. Except for February, foreign portfolio investors (FPIs) have consistently withdrawn funds from Indian equities, with heavy selling persisting during the first two weeks of June.

According to market data, FPIs sold equities worth Rs 62,853 crore during the 10 trading sessions between June 1 and June 12. With this latest round of selling, total net equity outflows by foreign investors in 2026 have crossed the Rs 3.09 lakh crore mark when combined with the figures from the previous months of the year.

Data from the National Securities Depository Limited (NSDL) shows that excluding February's inflows, FPIs have sold Indian equities worth a cumulative Rs 3,09,625 crore during January, March, April, May and the first half of June.

Foreign investors sold shares worth Rs 35,962 crore in January. February was the only month that witnessed net buying, with FPIs investing Rs 22,615 crore in Indian equities. However, the trend reversed sharply in March, when foreign investors recorded a massive withdrawal of nearly Rs 1.17 lakh crore, one of the highest monthly outflows on record.

The selling pressure continued in April, with FPIs offloading shares worth Rs 60,847 crore. In May, they sold equities worth Rs 32,963 crore. The trend has remained unchanged in June, with foreign investors already pulling out Rs 62,853 crore during the first two weeks alone.

Even after adjusting for February's net inflows of Rs 22,615 crore, cumulative net FPI outflows for the year remain close to the Rs 3 lakh crore level at approximately Rs 2,87,010 crore.

Market experts attribute the sustained foreign selling largely to global macroeconomic uncertainties. According to Anil Bhansali, Executive Director of Finrex Treasury Advisors LLP, geopolitical tensions have significantly affected investor risk appetite across emerging markets, including India.

He noted that foreign investors remain concerned about geopolitical risks, inflationary pressures, elevated crude oil prices and uncertainty surrounding global interest rates. These factors have prompted many investors to reduce exposure to riskier assets and move funds toward safer investment avenues.

The ongoing tensions in West Asia have also contributed to volatility in global energy markets. Despite a recent decline, Brent crude oil prices have remained close to the USD 90-per-barrel level, keeping concerns over inflation alive across major economies.

Analysts believe that persistently high crude oil prices could increase inflationary pressures worldwide, potentially influencing central bank policies and economic growth prospects. As a result, foreign investors have adopted a cautious approach, leading to continued withdrawals from emerging equity markets, including India.

Market participants will closely monitor global geopolitical developments, inflation trends and central bank policy signals in the coming weeks, as these factors are expected to play a crucial role in determining future foreign investment flows into Indian equities.

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Hindusthan Samachar / Jun Sarkar