Foreign institutional investors (FIIs) have sharply reduced selling in India’s equity markets and on some days have turned net buyers, according to data up to October 17. After months of heavy outflows, FII selling dropped to ₹4,114 crore, signalling a shift in sentiment. Analysts attribute the change to narrowing valuation gaps with global markets and improving festive-season demand ahead of Diwali. Stronger domestic participation and selective buying suggest fresh tailwinds for the market, though global headwinds still pose upside risks.