Global Funds Return to India as Earnings Outlook Improves

Foreign investors are returning to Indian stocks at the fastest pace in eight months, supported by stabilizing corporate earnings and a US trade deal that improves the outlook for the months ahead.

Global funds have bought nearly $2.1 billion of local shares so far in February, putting inflows on track for the strongest since June. The rebound follows last year’s record exodus, when investors shifted exposure to artificial intelligence-driven markets such as the US, China and South Korea.