{
  "id": 8672391,
  "title": "Rs 23,000 crore outflows! Is the September FII rout indicating a worse end to 2026?",
  "url": "https://urgent.news/2026/09/20/rs-23-000-crore-outflows-is-the-september-fii-rout-indicating-a-worse",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-20T08:30:13.000Z",
  "source": {
    "name": "The Economic Times - Top News",
    "slug": "the-economic-times-top-news",
    "url": "https://economictimes.indiatimes.com/markets/stocks/news/rs-23000-crore-outflows-is-the-september-fii-rout-indicating-a-worse-end-to-2026/articleshow/134365561.cms"
  },
  "original_language": "en",
  "account": "Foreign investors, once bullish on Indian equities, have recently turned cautious, with foreign institutional investors (FIIs) showing signs of exiting the market in September. This follows two months of inflows, with FPIs withdrawing Rs 23,676 crore from Indian equities by September 19, according to NSDL data. July and August saw FII outflows of Rs 34,152 crore, indicating a brief recovery in sentiment after a prolonged selling spell in the first half of the year. However, the current dip suggests that the positive trend may be short-lived.\n\nThe selling pressure is primarily driven by global factors, including higher crude prices, elevated US bond yields, geopolitical risk, and currency concerns. Analysts expect the impact of the ongoing Iran-US conflict to further exacerbate these concerns. Additionally, weak sentiment in the secondary market, coupled with the active performance in the primary market, adds to the FII selling pressure. Despite the recent outflows, the IPO market continues to attract foreign capital, with FPI investment through this channel remaining steady at Rs 2,703 crore up to September 19, accounting for a total investment of Rs 48,550 crore this year.\n\nDomestic institutional investors (DIIs) have partially cushioned the market fall, with net purchases of Rs 11,232 crore reported during the same period. However, the FII-led decline in the cash market remains significant, with FPIs selling Rs 3,106 crore, Rs 588 crore, and Rs 3,164 crore between September 15 and 17. The net outflow for the week was Rs 6,258 crore, highlighting the persistent weakness in the secondary market.\n\nAnalysts caution that volatility is likely to persist as long as crude oil prices and US bond yields remain high. The situation is further compounded by the ongoing Iran-US conflict, which could impact crude prices, current account deficits, inflation, and the rupee's strength. Despite these challenges, India's economy is expected to remain resilient, with improving earnings growth providing a potential upside for Indian equities.",
  "summary": "Foreign investors have resumed selling Indian equities in September, with FPI outflows crossing Rs 23,000 crore through September 19. Higher crude prices, elevated US bond yields, geopolitical risks and currency concerns are weighing on foreign flows, while DIIs cushion the pressure.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "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."
}