New Delhi, Sept. 3 -- Indian stock market indices, Nifty 50 and Sensex, have experienced a decline and significant volatility in the recent months, due to worries about the impact of US tariffs on economic growth. Donald Trump's 50% tariff has negatively affected earnings forecasts and triggered outflows of foreign investments. Up until 2 September 2025, foreign portfolio investors (FPI) have divested Rs.141,270 crore, according to data from NSDL.

As per analysts, the primary factor driving this notable selling trend among foreign investors is the relatively elevated valuations in India when compared to other markets. Consequently, making them shift their investments to markets offering lower valuations.

Nevertheless, market experts ide...