**FIIs Continue Selling Spree, Offload ₹5,700 Crore in Indian Equities**
*By Akash Pandey | Sep 27, 2025, 11:29 AM*
Foreign Institutional Investors (FIIs) have extended their selling streak in Indian equities for the fifth consecutive trading session on Friday. According to provisional data from the National Stock Exchange (NSE), FIIs sold shares worth ₹5,688 crore in the latest session.
### Sustained Outflows in September
This recent round of net selling brings the total FII outflow to ₹30,142 crore so far this month, reflecting growing caution among overseas investors amid ongoing global uncertainties.
### Market Impact
The persistent FII selling has exerted pressure on Indian equities. The benchmark Nifty 50 index ended Friday’s session down by 1% following a volatile trading day. On the BSE, companies saw their combined market capitalization drop by nearly ₹16 lakh crore over the week, with approximately ₹7 lakh crore wiped out on Friday alone.
These developments are largely influenced by concerns over stubborn US inflation and rising geopolitical tensions in the Middle East, prompting foreign investors to adopt a cautious stance.
### DIIs Step Up to Support Markets
In response to aggressive foreign selling, Domestic Institutional Investors (DIIs) have increased their buying activity. DIIs have recorded net purchases in all five sessions this week, with the highest inflow of ₹5,843 crore on Friday.
Year-to-date, DIIs have injected over ₹55,736 crore into Indian equities, helping to cushion the adverse impact of FII outflows on the market.
### Currency and Global Factors
The FII withdrawal is also linked to the strengthening US dollar and rising US Treasury yields, which make emerging markets like India less attractive to foreign investors.
The Indian rupee (INR) closed at 88.7175 per US dollar on Friday, remaining unchanged for the day but depreciating by 0.7% over the week — marking its biggest weekly decline since late August.
### What to Watch Next
Market participants will closely watch the upcoming US non-farm payrolls data next week. Any indication of a cooling labor market could alter expectations around US interest rate cuts, potentially influencing the direction of FII flows into Indian equities.
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*Stay tuned for more updates on market movements and global factors affecting Indian equity investments.*
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