Archive · 8 Oct 2026
Foreign Investors Sell Rs 35,861 Crore in Indian Equities
Foreign investors sold more shares in India than they bought in September.
They sold shares worth Rs 35,861 crore, after buying shares in July and August.
The biggest selling was in financial services.
Consumer services attracted the most foreign investment that month.
Healthcare and pharmaceutical shares also continued to receive institutional investment.
The article says investors may see consumer services as a steadier place to invest during uncertain times.
Foreign investors also sold shares in sectors such as metals, telecom, automotive, oil and gas, and capital goods.
Foreign portfolio investors sold Indian equities worth Rs 35,861 crore in September, ending two months of net buying.
They had purchased Rs 29,631 crore of shares in August.
Financial services saw the largest outflow, with FPI selling of Rs 13,147 crore.
Consumer services received the highest September inflows, at Rs 2,333 crore.
Healthcare and pharmaceutical shares continued to attract institutional buying, while selling increased across several other sectors.
- Who
- Foreign portfolio investors (FPIs)
- What
- Sold Indian equities worth Rs 35,861 crore, ending a two-month buying streak.
- When
- September 2026, according to the article.
- Where
- Indian equity markets.
- Why
- The article describes a shift in sector preferences amid global macroeconomic challenges, higher oil prices and elevated interest rates; it does not give one definitive reason for the overall selling.
Reasons investors may favour selected sectors
Evidence of broad sector selling
Consumer services
Reasons investors may favour selected sectors
Consumer services attracted Rs 2,333 crore in September; an SBI Securities report said foreign investors might view the sector as a defensive buffer with long-term opportunities.
Evidence of broad sector selling
The article notes that foreign investors sold heavily overall and shifted away from multiple sectors, including financial services, automotive, oil and gas, and metals.
Healthcare and pharmaceuticals
Reasons investors may favour selected sectors
Healthcare and pharmaceutical stocks continued to attract institutional buying; the article describes healthcare demand as relatively defensive, and SBI Securities reported sustained pharmaceutical inflows.
Evidence of broad sector selling
Pharmaceutical stocks were relatively expensive, with an average P/E of around 41 times, compared with lower multiples cited for public-sector banks, oil and gas, and metals.
- September FPI activity
- Net sales of Rs 35,861 crore in Indian equities.
- August FPI activity
- Net purchases of Rs 29,631 crore.
- Largest sector outflow
- Financial services: Rs 13,147 crore.
- Highest sector inflow
- Consumer services: Rs 2,333 crore.
- Sectors with inflows
- Nine of the 24 tracked sectors recorded inflows; 14 recorded outflows.
- Pharmaceutical FII flows
- Net cumulative inflows of Rs 2,117 crore in September, following more than Rs 13,600 crore over the prior two months.
- Pharmaceutical average P/E
- Around 41 times earnings, as reported in the article.