On Friday, the Long-Short Ratio of foreign portfolio investors' (FPI) positions in Nifty futures rose to 19.4%, up from 7.5% a month ago. This ratio compares traders betting prices will rise (long) to those betting on a fall (short). However, it fell from 22.1% on Wednesday, reflecting renewed bearish bets after AI concerns fueled a market sell-off. Vipin Kumar, AVP at Globe Capital Market, said, "FIIs have been on a bit of a rollercoaster lately." The ratio jumped briefly following optimism from the India-US trade statement but dipped again due to sharp sell-offs in US tech stocks caused by AI disruption fears. He added, "The recent dip in the FII Long-Short Ratio suggests that the 'smart money' is hedging its bets." Bullish bets had risen to 16-17% after the US-India trade deal framework announcement earlier this month, up from 11% the day before. But losses in IT stocks on Thursday and Friday soured sentiment. The Nifty index dropped 1.3% to 25,471 on Friday, while the Nifty IT index fell 8.2% during the week. Akshay Bhagwat of JM Financial Services noted foreign investors covered short bets and bought index futures worth about Rs 9,400 crore since the budget, but recent profit booking caused the Long-Short Ratio to fall below 20%. Chandan Taparia of Motilal Oswal Financial Services expects the Nifty to stay above 24,850-25,000 after Friday’s drop. He said, "The market has struggled to sustain momentum but continues to form a higher base despite various headwinds." Vipin Kumar warned, "The cooling off of the Long-Short Ratio indicates any immediate upside for domestic markets remains capped as global headwinds outweigh local catalysts." He expects the Nifty’s key support near 25,200-25,000. The Indian stock market remains cautious as foreign traders rethink their bets amid global uncertainty and tech sector weakness.