# FPI buying returns to India but remains selective, data shows 2026-08-25T10:26:53+00:00 | Governance | Indian Opinion Desk Corroboration: 2 independent outlets Foreign portfolio investors (FPIs) invested over Rs 25,000 crore in Indian equities between 1 and 24 August, the strongest monthly inflow since September 2024, after Rs 20,200 crore in July. If the trend holds, India could see two consecutive months of FPI buying for the first time this year, reversing a record Rs 1.2 trillion outflow in March. Livemint reports that financial services, automobiles, and consumer services drew the most money, while telecom, capital goods, and power saw outflows. Despite the inflows, global fund managers remain cautious. Bank of America's August survey showed 32% of respondents net underweight on Indian stocks, replacing Indonesia as Asia's least-preferred market. WhiteOak Capital CIO Ramesh Mantri told Business Standard that sustained FII selling has hurt largecaps disproportionately and that India needs stronger earnings growth to attract capital back. He added that pharma, healthcare, BFSI, and consumer sectors have strong fundamentals. Livemint notes that the Nifty 50 trades at 21.8 times earnings, below its five-year average, making some sectors attractive after corrections. However, Mantri flagged risks from energy prices, US tariffs, and the West Asia crisis, which could affect India through energy costs, business in the region, and remittances. ## Indian Opinion Analysis Livemint's piece leads with valuation corrections and sectoral rotation, treating the FPI return as narrow and conditional. Rediff's interview with Mantri emphasises weak largecap earnings and vulnerability to West Asia, framing the recovery as fragile. Livemint omits detailed geopolitical risk while Rediff gives it equal weight. Together they suggest FPIs are pricing in domestic earnings visibility but not a structural India bet. The Bank of America survey and Mantri's West Asia warning are the two numbers to watch. ## Coverage Coverage: 2 sources, 2 neutral - livemint.com (neutral report) Leads with data on FPI inflows and sector rotation, no editorial judgement - rediff.com (neutral report) Presents fund manager's views without slanting for or against government This brief was synthesised by AI from the 2 sources linked above, so one read covers every framing they carry. Updated: this story now draws on 2 sources. Last updated 2026-08-25T20:51:42+00:00. Tags: Bank of America, FPI, Nifty 50, Reserve Bank of India, US Treasury yield Canonical: https://indianopinion.org/fpis-return-but-stay-selective-in-indian-stocks-august-inflows-top-rs-25000-crore/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/fpis-return-but-stay-selective-in-indian-stocks-august-inflows-top-rs-25000-crore/#story-in-brief How this brief was made: an AI model read the reports linked above and wrote this summary and analysis, which were published automatically. Published briefs are sampled every hour by an automated quality check; the editor verifies its findings and approves corrections, and corrected briefs carry a dated correction line. Stance labels are editorial classifications of how each outlet framed this story, assigned by the same model, not ratings of the outlets. We do no original reporting. Methodology: https://indianopinion.org/ai-use-policy/