Indian equities are projected to reach new record highs by mid-2026, with forecasts suggesting continued gains through 2027. This optimistic outlook is primarily driven by substantial domestic investor inflows, which are counterbalancing significant foreign portfolio outflows. Despite global market rallies, Indian equities have seen minimal returns recently, partly due to foreign investors withdrawing nearly $17 billion this year. However, domestic institutional investors have injected approximately $77 billion, acting as a key stabilizer for the market.