FII Selling Continues For 10th Straight Week Despite Sharp Decline In Outflows, Nifty Falls 2.4% As Crude Oil And Global Tensions Weigh On Markets

Mumbai: Foreign Institutional Investors (FIIs) remained net sellers in Indian equity markets for the tenth consecutive week, although selling pressure eased significantly amid rising crude oil prices, geopolitical tensions and weak stock market sentiment.

Weekly FII outflows declined to ₹2,697 crore from ₹8,991 crore in the previous week, providing some relief to domestic investors.

FII Selling Eases, DII Buying Remains Strong

Domestic Institutional Investors (DIIs) continued supporting Indian equities, remaining net buyers for the tenth straight week. DII purchases increased to ₹10,942 crore during the week, helping absorb foreign selling pressure.

In October so far, FIIs have withdrawn ₹51,466 crore, while DIIs have invested ₹59,110 crore. Analysts believe slowing foreign outflows could provide short-term support, although elevated crude oil prices remain a concern.

Nifty Falls 2.4%, Smallcap Stocks Hit Hard

Indian stock market benchmarks witnessed widespread selling during the shortened trading week. The Nifty 50 declined 2.4 per cent to close at 22,600 after touching an intraw​eek low of 22,372 on Friday.

Bank Nifty dropped 2.8 per cent, while broader markets recorded sharper losses. The Nifty Midcap 100 fell 5.6 per cent, whereas the Nifty Smallcap 100 plunged 7.3 per cent.

Global Economic Events In Focus

Investors will closely monitor the upcoming US Federal Reserve FOMC meeting and Bank of Japan's interest rate decision. US GDP data, Brent crude oil prices, geopolitical developments and quarterly corporate earnings will also influence market direction.

Bernstein Cuts Nifty December Target

Brokerage Bernstein revised its December 2026 Nifty 50 target downward to 25,000 from 26,000. The brokerage cautioned that reducing long-term capital gains tax alone would not guarantee sustained foreign investment inflows. Market participants will watch institutional flows and global developments for signs of stability.

Published on: Saturday, October 24, 2026, 11:45 AM IST