{
  "id": 4847744,
  "title": "Foreign buying in Indian stocks hits 23-month high in August, depository data shows",
  "url": "https://urgent.news/2026/09/01/foreign-buying-in-indian-stocks-hits-23-month-high-in-august",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-01T11:03:30.000Z",
  "source": {
    "name": "Business Recorder",
    "slug": "business-recorder",
    "url": "https://www.brecorder.com/news/40437403/foreign-buying-in-indian-stocks-hits-23-month-high-in-august-depository-data-shows"
  },
  "original_language": "en",
  "account": "In August, foreign investors poured $3.1 billion into Indian equities, marking the highest monthly inflow in nearly two years, according to depository data. This surge in foreign portfolio investment (FPI) was attributed to strong earnings outlooks from domestic companies and measures taken by the central bank to stabilize the rupee. FPIs continued to be net buyers for a second consecutive month, with their purchases in August being the largest since September 2024, according to National Securities Depository data. However, despite this influx, FPIs remain on track for the highest-ever annual outflows from the country, with net sales amounting to $24.6 billion for the year so far. This trend is primarily due to a shift towards markets with pure-play AI-linked companies such as Taiwan and South Korea. Concerns over the impact of rising oil prices on India's inflation have also put pressure on foreign buying, considering India is among the world's top crude importers. While the Nifty and Sensex have been among the worst-performing Asian and emerging market indices in 2026, falling 7.8% and 9.7% respectively, this trend reversed in July due to concerns about the potential profitability of companies investing heavily in AI infrastructure. The RBI's efforts to support the rupee and attract foreign funds into debt markets, coupled with a robust earnings season in June, have helped bolster investor sentiment. Profit after tax for Nifty 50 companies soared to the highest in 10 quarters, with several brokerages, including Motilal Oswal and PhillipCapital, upgrading their fiscal year 2027 earnings expectations. Hiren Dasani, chief investment officer for emerging markets at Singapore-based WhiteOak Capital, noted that the demand remained healthy, exceeding expectations and continuing beyond the June quarter. The RBI's accumulation of sufficient forex inflows, even after the closure of the special dollar-rupee swap window for banks raising foreign currency deposits from the diaspora, could help alleviate concerns about rupee volatility for foreign investors. Despite the renewed foreign buying, heavyweights like HDFC Bank and Reliance Industries weighed down the Nifty and Sensex, causing them to decline by 1.2% and 1.5% in August. However, the broader markets performed better, with nine out of 16 major sectors posting monthly gains, and small-cap and mid-cap indexes rising 3.1% and 2.1% respectively, reaching record highs.",
  "summary": "Foreign portfolio investors poured $3.1 billion into Indian equities in August, the highest monthly inflow in nearly two years, aided by domestic companies’ strong earnings outlook and the central bank’s measures to stabilize the rupee. FPIs were net buyers for a second consecutive month, with their purchases in August being the largest since September 2024, National Securities Depository data…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 3,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "title": "Eurozone inflation hits 3-year high at 3.3% in August",
        "url": "https://urgent.news/2026/09/01/eurozone-inflation-hits-3-year-high-at-3-3-in-august",
        "published": "2026-09-01T09:46:00.000Z"
      },
      {
        "outlet": "Business Recorder",
        "title": "Pakistan inflation clocks in at 11.1% in August 2026",
        "url": "https://urgent.news/2026/09/01/pakistan-inflation-clocks-in-at-11-1-in-august-2026",
        "published": "2026-09-01T13:02:30.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}