North Asia led Asia's largest weekly foreign selling on record, led by Taiwan, amid global AI/tech sell-off; Moderate inflows in Brazil; India domestic MF flows surged in September

Goldman Sachs' EM Weekly Fund Flows Monitor shows that, amid a global AI/tech sell-off, EM Asia ex-China recorded the largest weekly foreign net selling on record, led by Taiwan — which posted its largest single-day and weekly FII outflow ever — followed by Korea, as long unwinds in the AI space drove the selling. Asian equities saw modest net selling overall while other major markets were roughly flat, and non-Asia EMs such as Brazil attracted moderate inflows. Southbound and domestic retail flows into Hong Kong and Asia remained positive. Preliminary September positioning data show funds most overweight Brazil and Mexico and most underweight Taiwan, with exposure raised most in India and Brazil over the past month and trimmed in Taiwan. India domestic equity mutual fund inflows rebounded sharply in September, led by small/mid-cap funds, with SIP flows at record highs while cash allocations stayed near five-year lows.