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India’s Nifty 50 falls 13% YTD despite 7.8% GDP growth

The Nifty 50 is down 13% year to date as foreign portfolio investors have sold Indian stocks worth ₹2,50,103 crore, while oil prices, global bond yields, and capital outflows weigh on sentiment.

Reported · Written up by our desk · Emerging Markets

India’s economy has shown resilience despite geopolitical turmoil, with GDP growth of 7.8% in the first quarter of FY27, according to the IMF, and factory output rising as the Index of Industrial Production increased to 8% in August, above the revised 7.4% rise in July.

Even so, LiveMint Markets reports that the Nifty 50 benchmark is down 13% year to date, pointing to a divergence between economic fundamentals and market performance.

The article cites elevated oil prices linked to the US-Iran conflict, rising global bond yields, and heavy foreign capital outflows as key concerns driving pressure on Indian equities.

It adds that FPIs have sold Indian stocks worth ₹2,50,103 crore so far this year, despite the stronger macro data.

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