The FII outflows from Indian equity markets continue. Foreign portfolio investors net sold Rs 42,927 crore worth of equities in the first week of June alone. Experts believe a convergence of global capital rotation toward artificial intelligence opportunities and a sharply weaker rupee continued to erode the investment case for India. The week’s outflows take total FPI selling in 2026 to Rs 2.67 lakh crore exceeding the full-year figure of Rs 1.66 lakh crore recorded in 2025, according to National Securities Depository Ltd (NSDL) data. The scale of the exit is significant: India is no longer just facing a pullback, it is absorbing a structural reallocation of global money.