Foreign institutional investors (FIIs) remained net sellers for the fifth consecutive week, offloading ₹7,620 crore in the week ended 19 September 2026, according to exchange data. Domestic institutional investors (DIIs), however, stepped up to absorb the pressure, infusing a net ₹11,232 crore — a buying streak that analysts say helped the broader indices recover from mid-week lows.

Monthly Tally: FII Sales vs DII Support

So far in September 2026, FIIs have offloaded a net ₹7,041 crore, while DIIs have countered with net purchases of ₹36,219 crore. Despite the DII cushion, the Nifty50 has declined 3.05% from its August-end close of 24,080.40, reflecting the weight of persistent foreign outflows and global uncertainty.

Markets Close Higher on Friday

Equity benchmarks extended their recovery for a second straight session on Friday, 19 September, buoyed by easing crude oil prices and bargain buying following the recent correction. The Nifty50 settled at 23,346.40, up 0.33%, while the Sensex closed at 74,294.96. The indices opened higher and remained largely range-bound, with the Nifty holding above the 23,300-mark for most of the session.

The broader market outperformed the benchmarks, with the Nifty Midcap index gaining around 1.24% and the Nifty Smallcap index advancing approximately 1.74%.

Global Cues and Crude Oil in Focus

Brent crude eased to around $103.5–104 per barrel, extending its recent decline on expectations that alternative supply routes could help offset geopolitical disruptions. This provided some relief to markets that have been rattled by elevated energy prices and US-Iran geopolitical tensions. Notably, crude prices remain elevated by historical standards, keeping inflation and current-account concerns alive for emerging markets like India.

Technical Outlook and What to Watch

Technically, the Nifty's ability to sustain above the 23,200–23,300 zone offers some near-term stability after recent losses. However, analysts caution that the broader trend remains cautious, with the 23,400–23,600 band emerging as the key resistance zone to watch. Sustained FII selling and global headwinds are likely to keep markets volatile in the near term, though steady DII buying is expected to continue limiting the downside, according to market participants.

Going forward, traders and investors will closely track Brent crude price movements, developments on the US-Iran geopolitical front, and upcoming US and domestic PMI data for near-term directional cues. Analysts recommend a selective, hedged approach amid elevated crude prices, persistent foreign selling, and global rate uncertainty.