Business · Markets · 2 hrs ago
Foreign investors sell Indian shares, while IT stocks attract buying
Foreign portfolio investors sold shares across most Indian sectors in the first half of October.
Financial services saw the biggest outflow, with investors selling shares worth ₹8,634 crore.
They also sold ₹8,172 crore in FMCG shares and ₹6,533 crore in auto shares.
IT stocks went against the trend, attracting about ₹2,599 crore in foreign investment.
Higher US Treasury yields, elevated oil prices and currency uncertainty weighed on investor sentiment, while some investors saw value in IT shares as valuations moved closer to or below long-term averages.
The contrasting flows show investors were more cautious about sectors facing questions over earnings, costs and valuations, while some IT companies had reported encouraging results.
Foreign portfolio investors sold shares in most Indian sectors during the first half of October, while buying IT stocks.
Financial services recorded the largest outflows, at ₹8,634 crore.
FPI sales also hit FMCG and automobile stocks, at ₹8,172 crore and ₹6,533 crore, respectively.
Investors bought about ₹2,599 crore worth of IT shares after selling around ₹1,000 crore in September.
Rising US Treasury yields, high crude oil prices and currency uncertainty weighed on foreign investor sentiment, an industry executive said.
- Who
- Foreign portfolio investors (FPIs).
- What
- They sold shares across most sectors but bought IT stocks.
- When
- The first half of October. The article was published on October 23, 2026.
- Where
- Indian stock sectors.
- Why
- Rising US Treasury yields, elevated crude oil prices and currency uncertainty weighed on investor sentiment. Financials, consumption and autos also faced scrutiny over earnings growth, funding costs and valuations.
This story does not have two clearly opposing sides.
FPIs bought around ₹3,358 crore worth of IT stocks.
FPIs bought around ₹4,103 crore worth of IT stocks.
FPIs sold around ₹1,000 crore worth of IT stocks.
FPIs bought around ₹2,599 crore worth of IT stocks, while selling shares in most other sectors.
- Financial services outflows
- ₹8,634 crore in the first half of October
- FMCG outflows
- ₹8,172 crore in the first half of October
- Automobile outflows
- ₹6,533 crore in the first half of October
- IT stock purchases
- Around ₹2,599 crore in the first half of October
- IT stock sales
- Around ₹1,000 crore in the second half of September
What people are saying
Rising US Treasury yields, elevated crude oil prices and currency uncertainty were among the factors weighing on foreign investor sentiment
Investors found value in Indian IT stocks as valuations moved closer to or below their long-term averages