Domestic institutional investors (DIIs), meanwhile, continued to provide support to the market, purchasing equities worth ₹2,927.71 crore, according to provisional exchange data.
The latest FII outflow was significantly lower than Monday’s provisional net sale of ₹3,062.27 crore, suggesting a moderation in selling pressure. DIIs had bought equities worth ₹2,171.70 crore in the previous session.
According to the data, FIIs purchased shares worth ₹12,763.43 crore and sold equities worth ₹13,503.12 crore, resulting in a net outflow of ₹739.69 crore.
DIIs, on the other hand, bought shares worth ₹20,420.87 crore and sold ₹17,493.16 crore, leading to a net inflow of ₹2,927.71 crore.
Markets retreat as geopolitical worries weigh
The continued foreign selling came as benchmark indices ended sharply lower on Tuesday, pressured by escalating tensions in West Asia, rising crude oil prices and a weakening rupee.
The BSE Sensex fell 562 points to close at 77,055, while the Nifty50 declined 159 points to settle at 24,052.
Market breadth remained weak, with the advance-decline ratio at 1:2. Thirty-four Nifty constituents ended the session in the red, while 11 stocks declined more than 2%.
The Nifty Bank index dropped 669 points to 57,462, while the Nifty Midcap index lost 275 points to close at 62,766.
Despite the broader weakness, buying emerged in select defensive pockets. Pharma and information technology stocks outperformed, with Sun Pharma and TCS featuring among the top gainers on the Nifty.
Meanwhile, the rupee depreciated 62 paise to settle at a provisional 96.30 against the US dollar, as higher crude oil prices and renewed geopolitical uncertainty continued to weigh on the domestic currency.
