Global capital loves to chase AI; India has no story, so it can only watch helplessly.

CoinWorld News reports that Bank of America Global Research states that as Asian AI winners offer stronger profit prospects at lower valuations, foreign investors' sell-off of Indian stocks may continue until 2027. Bank of America India Research Head Amish Shah said, "India is facing downward revisions in earnings, while other AI-driven markets are seeing upgrades." He pointed out that global investors are unlikely to return to India "before 2027 or even 2028," and "this definitely doesn't look like it will happen in 2026." As global investors continue to chase AI-related investments in other parts of Asia, the rupee's depreciation has intensified a record $23 billion in foreign capital outflows, making India's local stock market one of the worst performers globally so far in 2026. Without significant expansion in earnings growth, India's high valuations may still face pressure.