Graduates down in foreign capital upset official (10)
I believe the answer is:
ambassador
'official' is the definition.
(ambassador is a kind of official)
'graduates down in foreign capital upset' is the wordplay.
'graduates' becomes 'BAs' (people with Bachelor of Arts degrees).
'down' becomes 'sad' (I've seen this before).
'in' indicates putting letters inside.
'foreign capital upset' becomes 'amor' (I am not sure about this - if you are sure you should believe this answer much more).
'bas'+'sad'='bassad'
'bassad' going within 'amor' is 'AMBASSADOR'.
Can you help me to learn more?
(Other definitions for ambassador that I've seen before include "Overseas diplomat" , "Foreign representative" , "In a different case, he could be" , "Senior diplomat" , "delegate" .)