Foreign institutional investors (FIIs) sold Indian equities worth Rs 17,140 crore last week, pushing April's total outflow to Rs 43,967 crore. The broader 2026 exodus now stands at Rs 1.75 lakh crore, making this one of the most sustained stretches of foreign selling in recent memory. Two forces are driving the exits: geopolitical uncertainty and a market that lacks a clear sector leading the recovery. When no single industry is pulling indexes higher, foreign funds tend to cut exposure and wait for a cleaner signal before returning. Domestic indexes have taken sharp hits as a result. FII selling at this scale removes significant buying support from the market, which amplifies downward moves when retail and domestic institutional buying is not strong enough to absorb the pressure. The next major trigger is the US Federal Open Market Committee rate decision, followed by the Bank of Japan's policy meeting. Both events shape how global funds allocate between emerging markets like India and developed-market assets. The direction of FII flows in the coming weeks will likely hinge on what these central banks signal.
Indian startups raised $5.2 billion across 501 deals in H1 2026, down 9% in value but up 7% in deal count year-on-year, per the Inc42 Indian Tech Startup Funding Report. The drop is driven by fewer mega-rounds, while AI funding surged 317% and growth-stage deal activity hit a multi-year high.
The BSE Sensex fell 893 points and the Nifty 50 shed 279 points on June 30, 2026, wiping out roughly Rs 6 lakh crore in investor wealth in a single session. Both indices dropped 1.16%, closing at 76,200.68 and 23,824.10 respectively.
Kotak Mahindra Bank shares fell nearly 3% to Rs 397.6 after CEO Ashok Vaswani announced plans to exit the bank. Investor concern now centres on succession timing and whether the bank's ongoing digital and deposit-growth strategy will stay on track.
South Korea's Kospi dropped 3% at Monday's open while Japan's Nikkei fell 1%, as escalating US-Iran conflict triggered a broad risk-off move across Asian markets. South Korea's heavy reliance on Middle East oil imports makes it especially vulnerable to geopolitical shocks of this kind.
