This piece explores the dichotomy between the continued strength of India’s primary market and the bearish nature of its secondary market. It briefly examines the possible reasons behind this divergence, including foreign outflow of capital, domestic liquidity, regulatory timing, and considers what this may say about the broader state of the Indian markets in 2026.

SEBI’s proposal to further tighten the noose around P-notes represents a swift change in the regulatory landscape for P-notes and ODIs.