FIIs Net Buyers in Indian Equities in February Amid Geopolitical Uncertainty

Foreign Institutional Investors (FIIs) turned net buyers in the Indian stock market in February, investing over Rs 22,600 crore, driven by expectations of strong corporate earnings growth in FY26 and FY27. However, escalating geopolitical tensions between the US, Iran, and Israel have unsettled global markets, prompting cautious investor sentiment and a recent sell-off in domestic IT stocks. Experts suggest FIIs may adopt a wait-and-watch approach amid uncertainty over the conflict's impact on crude oil prices, currency markets, and India's economic outlook.