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Foreign Investors Return to Indian Stocks With Rs 14,610 Crore October Inflow

Strategists warn the rebound will last only if macro conditions stay supportive.

Overview

  • Depository data shows Rs 14,610 crore flowed into equities in October, ending a three‑month stretch that saw nearly Rs 77,000 crore pulled out.
  • Analysts link the shift to resilient Q2 FY26 corporate results and the US Federal Reserve’s 25 bps rate cut, alongside improving sentiment on US–India trade talks.
  • Morningstar notes easing inflation, more attractive valuations and reform signals such as GST rationalisation as additional supports for risk appetite.
  • Despite October’s buying, FPIs remain net sellers for 2025 by roughly Rs 1.4 lakh crore.
  • In debt markets, FPIs invested about Rs 3,507 crore under the general limit and withdrew Rs 427 crore through the voluntary retention route in October.