Citi downgrades to Indian equities to ‘neutral’ from ‘overweight’; here’s why

Citi has downgraded Indian equities to ‘neutral’ due to high valuations and weaker earnings growth forecasts, favoring markets like China and Korea. Simultaneously, Foreign Institutional Investors (FIIs) have intensified selling, pulling out over Rs 10,169 crore in five sessions, indicating a shift in investor sentiment and impacting market dynamics.