Foreign Investors Resume Selling as Crude, Dollar Pressure Indian Equities

Foreign investors put less money into Indian shares in September.

They had invested heavily in July and August, but began selling again.

By September 18, they had taken out ₹20,974 crore from Indian equities.

Their total withdrawals in 2026 were already larger than their withdrawals during all of 2025.

Experts said high US interest rates, expensive oil and a weaker rupee made Indian investments less attractive.

Brent crude stayed above $100 per barrel during geopolitical tensions.

Analysts said the Iran-US conflict could affect future investment by changing oil prices.

India’s strong economy and expected earnings growth could still support its markets.

Foreign investors continued to participate in new share offerings despite selling existing shares.