The Nifty 50 and Sensex both dropped approximately 5.7% in September, marking the indices' worst September derivatives series in 25 years. Driven by surging oil prices, rising bond yields, and the threat of higher interest rates, foreign institutional investors (FIIs) snapped a two-month buying streak to pull Rs 25,662 crore out of Indian equities—their largest monthly outflow in six months.
According to NSDL data, total FII net sales for 2026 have now surpassed Rs 2.5 lakh crore.