Record-breaking FII selling may have peaked, says Nomura. Why the Nifty target could rise
BSE is in focus with September 15 in focus.
· Economic Times Markets, ET Stocks
FIIs may be nearing the end of their record selling spree in Indian equities as outflows ease, earnings beat expectations and valuations fall below post-pandemic averages, according to Nomura. Foreign investors sold around $8.8 billion since September 15, although the pace has moderated.
Key facts
- Dates in focus
- September 15
The analysis
BSE reported movement of 34% and 18%. Those are the figures as filed — what moves the price is how they sit against what the market already expected, not their absolute size.
This is an Index / institutional flows event. Passive and institutional flows move price independently of fundamentals, and around rebalancing dates they dominate it.
Because the driver here is macro rather than company-specific, the read-through is to index-level positioning rather than to any single name — correlations tend to rise when the whole market faces the same signal.
Why it matters
- Earnings versus expectations is what actually re-rates a stock; the surprise matters more than the absolute number.
- Sustained FII or DII direction moves the whole market, not just the names being bought — it sets the tape's tone.
- With BSE involved, this carries a regulatory dimension that can outlast the immediate market reaction.
Market context
- A market-wide development: it reaches beyond any single stock.
Related coverage
Nifty Expiry Today Prediction 3 Nov: Bulls back in action! Check support, resistance levels - What should investors do
Nifty's Diwali-to-Diwali slide: Will year-end gains light up Dalal Street?
Zen Technologies shares rally 9% after Q2 profit rises 51% YoY, revenue nearly doubles
November could favour bulls, but macro headwinds cloud outlook
Reliance Industries shares set for biggest-single day jump since April 2020 as Q2 earnings spark Rs 1 lakh crore rally