Sensex Falls Over 1,000 Points Amid Tensions Over Pahalgam Attack

Indian stock markets are trading lower as tensions rise between India and Pakistan following the terror attack in Pahalgam, Kashmir. The Sensex, which tracks 30 major stocks on the BSE, has dropped over 1,000 points and is now below the 79,000 level. Meanwhile, the Nifty, comprising 50 key stocks on the NSE, has slipped below the 24,000 mark.

Although the markets opened higher earlier in the day—boosted by a global rally and increased fund inflows—the positive momentum didn’t last, and the indices eventually gave up those early gains.

Unimpressive March quarter earnings by Axis Bank, the country’s third-largest private sector bank, have also upset the markets. The bank’s shares have fallen 4.65% after reporting a decline in quarterly profit from Rs 7,130 crore in the year-ago period to Rs 7,117 crore.

Also read: Grief as Bodies of Pahalgam Victims Return Home

Terror Attack Triggers Diplomatic Fallout Between India and Pakistan

Besides Axis Bank, major laggards include Bajaj Finance, Bajaj FinServ, Tata Motors, and Tech Mahindra. On the gaining side are TCS, Infosys, Reliance, HCL Tech, HDFC Bank, and ICICI Bank.

Terrorists massacred at least 26 civilians in a tourist hotspot known as ‘Mini Switzerland’, prompting both countries to pull out their diplomatic staff and suspend visas issued to each other’s citizens. 

The latest flare-up at the Line of Control was speculative firing by Pakistani troops, which is being seen as an attempt to provoke the Indian side. Indian troops retaliated effectively against the firing from multiple Pakistani posts.

As Indian equities braced for the impact, global equities, including the Asian markets, were charting in the positive territory. South Korea’s Kospi index, Tokyo’s Nikkei 225, Hong Kong’s Hang Seng, and Shanghai SSE Composite were all in green.

US equities also showed similar trends. Last evening, Nasdaq Composite closed 2.74 per cent higher. S&P 500 jumped over 2 per cent and Dow Jones Industrial Average surged 1.23 per cent.

Also read: Security Tightened In Rajasthan, Nainital After Pahalgam Terror Attack