Foreign selling and the outlook for Indian stocks

A September 17, 2026 post puts foreign institutional selling at ₹2.4 lakh crore for the year and foreign portfolio ownership at a 17-year low of 15.1%. It says the Nifty is down about 8%, while Taiwan and Korea are up more than 50%, arguing that investors want AI exposure that India lacks at index scale. The post says ₹8 lakh crore in domestic institutional buying can cushion losses but cannot create a bull market. Another post that day offers a more optimistic view: foreign selling, higher US rates and elevated crude can create short-term pressure, but domestic flows remain a powerful counterweight and India’s structural drivers have not disappeared.