Foreign outflows from Indian markets slow to $702 million in May

China-focused funds lost $79B since April

After nearly $6 billion left India over 11 weeks, things have steadied a bit, though some long-term investors are still selling.
Other emerging markets are feeling it too: there have been six straight weeks of outflows, with China-focused funds seeing the biggest hit ($79 billion gone since April).
South Korea and Brazil also saw major exits recently.

Even though passive ETFs helped soften the blow a little, Elara says investor mood is still cautious as the global excitement around AI and commodities cools off.