Why did FPIs pull out ₹20,974 cr from Indian Equities in September?

Foreign Portfolio Investors (FPIs) withdrew ₹20,974 crore from Indian equities in September, after investing ₹20,200 crore and ₹29,631 crore in July and August respectively. Analysts attributed this to US' Federal Reserve raising its benchmark interest rate by 25 basis points for the first time since 2023. The US-Iran war and crude oil rising to $100/barrel also led to the withdrawal.