Global index provider was expected to hike the weight after Centre's decision to virtually increase investment limit for overseas investors in domestic firms
While a coordinated aggressive monetary easing from the central banks is most likely to offer some respite in the near-term, it is unlikely to improve the sentiments
Sensex fell 336 points, or 0.82 per cent, to end at 40,794; Nifty closed at 12,056, down by 95 points or 0.8 per cent
Despite the 3 per cent gain in September 2019, the FPI sell-off during the quarter has seen the benchmark indices register negative returns in Q3CY19
Here's a look at some of the top headlines of the day
As per latest depositories data, foreign portfolio investors pulled out a net amount of Rs 4,263.79 crore from equities but infused a net Rs 3,000.86 crore into the debt segment
In July, overseas investors had pulled out a net amount of Rs 2,985.88 crore from the capital markets
China is the world's second-largest market, after the US, in terms of market capitalisation
This comes following a collective net inflow of Rs 8,584 crore in the equity markets by FPIs during November and December 2017
This was the worst year for Indian capital markets in terms of overseas investment since 2002
FPIs never fully returned to the Indian equity markets after pulling out net assets worth Rs 610 bn during the quarter ended June 2018
In contrast, foreign portfolio investors have put in Rs 5.92 billion in equities during the period under review
The latest withdrawal is much higher than outflow of Rs 412 billion, witnessed in entire 2008, during global financial crisis
This is the steepest outflow from the capital market since November 2016, when FPIs had pulled out Rs 393.96 billion
According to Prabhudas Lilladher CEO Ajay Bodke, there has been a heightened risk aversion as markets are watching with caution the outcome of key developments related to US-Iran and Karnataka polls
This is against the total inflow of Rs 137.81 billion by foreign portfolio investors (FPIs) in the Indian equity markets in January
The outflow was mainly on account of rising crude prices and the widening fiscal deficit
FPIs sold a net sum of Rs 10,525 crore in equities between August 9 and August 21
This comes following a net inflow of over Rs 62,000 cr in last six months from February-July 2017