Archive · 6 Sep 2026
Foreign Investors Sell as Domestic Funds Support Indian Stocks
Foreign investors sold a large amount of Indian stocks during the week.
This was their third week in a row of selling.
Indian investment funds bought even more stocks during all five trading sessions.
Their buying helped reduce some of the pressure on the market.
The Nifty, a major Indian stock index, still fell by 1.2%.
Higher oil prices and tensions in West Asia made investors nervous.
Some investors continued buying individual companies they believed had stronger prospects.
Small-cap stocks rose slightly, while mid-cap stocks fell.
Investors will watch foreign flows, oil prices, the rupee and domestic buying for clues about what happens next.
Foreign institutional investors sold ₹5,610 crore of Indian equities during the reported week.
Domestic institutional investors bought ₹23,160 crore across all five trading sessions.
The Nifty fell 1.2% to 23,897, marking its fourth consecutive weekly decline.
West Asia tensions and higher crude oil prices weighed on investor sentiment.
Selective buying supported small caps and sectors including metals, insurance and finance.
- Who
- Foreign institutional investors, domestic institutional investors and Indian equity-market investors.
- What
- Foreign investors sold ₹5,610 crore of equities while domestic institutions bought ₹23,160 crore, as benchmark indices declined.
- When
- During the reported week; foreign selling continued for a third consecutive week.
- Where
- Indian stock markets.
- Why
- Foreign investors remained cautious, while West Asia tensions and higher crude oil prices weakened sentiment; domestic liquidity provided support.
Foreign Selling and Market Pressure
Domestic Buying and Selective Support
Institutional flows
Foreign Selling and Market Pressure
Foreign institutional investors remained cautious and sold ₹5,610 crore, continuing a three-week selling streak.
Domestic Buying and Selective Support
Domestic institutional investors bought ₹23,160 crore and were net buyers in all five sessions.
Overall market direction
Foreign Selling and Market Pressure
The Nifty fell 1.2%, mid-cap stocks declined, and higher crude prices and geopolitical tensions hurt sentiment.
Domestic Buying and Selective Support
Domestic liquidity cushioned the decline, while small-cap stocks and selected metals, insurance and financial shares attracted buying.
- Foreign institutional flows
- FIIs sold ₹5,610 crore of Indian equities during the week.
- Domestic institutional flows
- DIIs bought ₹23,160 crore across all five sessions.
- Nifty performance
- The Nifty ended at 23,897, down 1.2% for the week.
- Mid-cap performance
- The Nifty Midcap index declined 1.5%.
- Small-cap performance
- The Nifty Smallcap index gained 0.1%.
- Market streak
- Benchmark indices declined for the fourth consecutive week.
- Analyst observation
- Pabitro Mukherjee of Bajaj Broking said FIIs remained sellers for a third straight week while DIIs extended their buying streak.