“A rise in the US 10-year bond yield and a strong dollar index influenced FIIs to flee emerging markets. A fall in liquidity in the banking system, a weak currency and a current premium valuation set the market outlook bearish for the near term,” Vinod Nair, Head of Research at Geojit Financial Services, said.
Rs 23,000 crore outflows! Is the September FII rout indicating a worse end to 2026?
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