Mumbai, Oct. 3 -- Foreign investors have moved record sums of money from selling Indian shares in the secondary or cash market to other, better performing countries, as the Indian market maintains lofty valuations and the rupee continues to depreciate amid tariff tensions with the US.

Foreign portfolio investors or FPIs have sold cash shares worth Rs.2.02 trillion in the calendar year through 1 October, per National Securities Depository Ltd (NSDL). In the same period in 2022, FPI cash outflows were at Rs.1.46 trillion, the second highest in a year based on the latest data, and Rs.1.21 trillion last year.

Analysts say the heavy outflows could keep market gains in check until India and the US sign up on a bilateral trade deal (BTA), whic...