Foreign Portfolio Investors (FPIs) have made a strong return to the Indian stock market, investing Rs 53,739 crore in equities during the first nine days of November 2026. The inflows mark a sharp reversal after two consecutive months of significant withdrawals, reflecting renewed interest in Indian companies amid changing global investment trends.
According to depository data, foreign investors made net purchases between November 2 and November 9, covering six trading sessions. The latest investment has been supported by a global sell-off in artificial intelligence (AI)-related stocks, improving corporate earnings in India and attractive valuations of large-cap companies.
Foreign Investors Reverse September And October Selling
The November inflows follow substantial withdrawals from Indian equities in the previous two months.
FPIs withdrew Rs 35,861 crore in September 2026 and another Rs 34,843 crore in October. Together, the two months recorded outflows exceeding Rs 70,000 crore.
The latest investment has reversed much of that recent selling pressure. However, despite the strong November buying, cumulative FPI outflows from Indian equities in 2026 remained at Rs 2.41 lakh crore.
This indicates that foreign investors have continued to be net sellers over the broader period, even as their investment activity improved significantly in November.
Global AI Stock Sell-Off Makes India Attractive
Market experts have linked the sudden change in foreign investor sentiment to the correction in AI-focused stocks across major global markets, including the United States, South Korea, Taiwan and Japan.
Concerns about massive investments in data centres and uncertainty over the future returns from AI infrastructure have prompted investors to reassess their exposure to technology-heavy markets.
According to V K Vijayakumar, Chief Investment Strategist at Geojit Investments, the global AI sell-off has made India an attractive destination because it is widely viewed as a relatively non-AI-focused investment market.
India’s strong corporate earnings growth and comparatively attractive valuations of large-cap stocks have further supported foreign investor interest.
Financial Services, IT And Auto Stocks Attract Buying
FPIs concentrated their purchases in several major sectors, particularly companies that have significant representation in benchmark stock market indices.
Financial services, information technology, automobiles and telecommunications were among the key sectors attracting foreign investment.
Buying in these index-heavyweight companies can influence broader market performance because of their substantial weight in benchmark indices.
The latest inflows therefore represent renewed foreign interest in some of India’s largest listed businesses rather than investment being spread evenly across the entire equity market.
Foreign Investment In Debt Market Remains Mixed
Foreign investors also participated in India’s debt market during the same period, although investment trends varied across different routes.
They invested Rs 7,759 crore through the Fully Accessible Route (FAR). However, they withdrew Rs 591 crore through the Voluntary Retention Route (VRR) and another Rs 270 crore through the general investment route.
The figures indicate that foreign investors were more selective in their debt market activity while making substantial purchases of Indian equities.
Summary
Foreign Portfolio Investors invested Rs 53,739 crore in Indian equities during November 2-9, reversing two months of outflows exceeding Rs 70,000 crore. A global AI stock sell-off, strong Indian corporate earnings and attractive large-cap valuations supported the return of foreign capital. Financial services, IT, automobiles and telecom attracted significant buying, although total equity outflows for 2026 remained at Rs 2.41 lakh crore.
