Today’s stock market news brings a mix of strong foreign flows, shifting sector trends, corporate developments, and rising global risks. FCNR(B) inflows have exceeded initial expectations, while August recorded the strongest FPI equity inflows in nearly two years. At the same time, large index short positions, pressure on IT majors, ICICI Bank’s margin outlook, Coal India’s diversification plans, and rising US bond yields are giving investors plenty to track. In this Jarvis Invest market update, we look at eight key developments shaping Indian and global markets.
Stock Market News: FCNR(B) Inflows Smash RBI Estimates, Cross $100 Billion
The RBI sources have hinted that overall flows through FCNR(B), OFCBs, and ECBs combined would be well above $100 billion, with FCNR(B) alone accounting for around $100 billion of flows. That is well above the RBI original estimate of $80 billion from FCNR(B) flows. This is based on data on NRI flows reported by the major private and PSU banks. While the window for raising FCNR(B) funds has closed, the banks have time till 11-Sep to avail the RBI swap facility. Most of the funds have come in with 5-year maturity. RBI is entirely bearing the currency risk in this case.
Stock Market News: FPI Buying Hits a 23-Month High, But Massive Index Shorts Raise Caution
For the month of August 2026, FPIs reported net inflows of ₹29,631 crore or around $3.12 billion. This is the best inflow month in the last 2 years since the FPI selling began in September 2024. In July also, FPIs had infused ₹20,200 into Indian equities. However, what is disconcerting is that the FPIs have also piled up about 2.47 lakhs in short index contracts. While this kind of heavy index shorting is seen as a bearish signal, a good part could also be in the form of arbitrage positions, which are largely neutral in nature. FPI long/short ratio in index futures stands at 1:10.
Stock Market News: Coforge and OFSS Buck the IT Rout as Large-Cap Tech Struggles
IT stocks may have faced a rout in the last one year, but there are mid-cap IT stocks like Coforge and OFSS, that have rallied. While the IT sector overall lost market cap of ₹6.37 trillion in the last 1 year, these 2 stocks rallied up to 59% in same period. Among the large cap IT stocks; TCS, Infosys, and Wipro corrected between 26% to 30%, while Tech Mahindra ended with 3.0% gains. In the case of Coforge and OFSS, the story is more about earnings visibility and specific growth drivers. Execution risks have been low for these 2 companies and earnings more predictable.
Stock Market News: Subhash Chandra Case Takes Fresh Turn as Settlement Order Is Stayed
There have been a lot of developments in the Subhash Chandra case in the last few days. After the 3-member bench accepted the ₹6.25 crore settlement for Subhash Chandra’s personal guarantee, the order was stayed by a 5-member bench. However, the counsel for Chandra has argued that NCLT did not have the statutory authority to constitute a bench to override a previous decision. Not only has the order been stayed by the 5-member bench, but has also restrained Chandra from alienating any assets. The last word on this controversial subject is yet to be said!
Stock Market News: ICICI Bank’s $17.88 Billion FCNR(B) Haul Puts NIM Pressure in Focus
While most global brokers like Citi and UBS remain positive on ICICI Bank, there are concerns raised over the margin pressures caused by the FCNR(B) flows. According to data provided by ICICI Bank, it had received total FCNR(B) flows of $17.88 billion till the close of business on 31-Aug. While the brokers do expect a boost to the net interest income (NII) of up to 3%, there are some trade-offs. The incremental margins on FCNR(B) deposits and the expanded base will put pressure on the net interest margins (NIMs). Overseas NIMs are expected to drop by 50 bps for ICICI Bank.
Coal India Bets ₹50,000 Crore on Critical Minerals and a Future Beyond Coal
Coal India is planning a long-term diversification beyond coal as it plans to invest ₹50,000 crore into coal gasification and critical minerals. It is not only seeking additional minerals domestically, but also abroad. It is especially focusing on lithium mines abroad, which is a key input for various applications like batteries, defence, space technology etc. Coal India also has set an ambitious target of 9.5 GW of renewable capacity by the year 2030. The idea is to gradually diversify away from coal, which being a fossil fuel, has limited visibility due to its carbon footprint.
India’s Ecommerce Market Could Hit $345 Billion by 2030 as AI and Dark Stores Scale Up
The Indian ecommerce market is expected to more than double to $345 billion by the year 2030. By the year 2030, ecommerce is expected to account for a substantial portion of retail sales. The report expects ecommerce players to capitalize substantially on artificial intelligence (AI) to boost retail productivity, offer better customer insights, and improve the service experience. The market is expected to grow at a CAGR of around 18.4%. The dark stores network is also likely to expand three-fold from the current 2,500 stores to 7,500 dark stores by the year 2030.
Chris Wood Flags 5% US Bond Yields as a Major Risk for Global Equities
Celebrated investor, Chris Wood, has underlined that the US bond yields crossing 5% could mark a major near-term risk for global markets. Currently, the US 10-year bond yields trade at 4.78% while the 30-year bond yields are 5.26%. These are already multi-year highs. Rising yields are a global phenomenon. While US 30-year bond yields are at the highest level since 1998, the Japanese 10-year bond yields are also at the highest since 1996. Yields above 5% represent a genuine risk for equities as it raises weighted average cost of capital used to discount future cash flows.
Conclusion
From record FCNR(B) flows and improving foreign investor participation to changing dynamics within IT, banking, ecommerce, and energy, today’s stock market news highlights several trends that could influence markets in the months ahead. Global bond yields remain an important risk to watch, particularly as higher borrowing costs can weigh on equity valuations. Stay updated with Jarvis Invest for important market developments, company updates, and insights that help you understand what is moving the markets.
