FPIs Dump ₹13,138 Crore From Indian Equities Amid Global Uncertainty
Foreign Portfolio Investors (FPIs) pulled out ₹13,138 crore from Indian equities in the first half of September due to heightened global uncertainty. The main drivers behind this were rising US bond yields and a firm dollar that weighed on risk appetite.
Brent crude oil prices surged to USD 109.97 per barrel on Friday and remained above USD 102 per barrel, its July-high level, amid geopolitical tensions.
Experts believe that the Iran-US conflict will significantly impact FPI flows in the coming weeks. Elevated crude prices and higher inflation imply tighter monetary policy, leading to further rises in bond yields.