First of allheartily Congratulates Indian Air Force for their bravery and the Government of India for taking such a bold and strong action against terrorism as promised by our honorable (“Is baar pura hisab liya jaega”).
On 14/Febr/2019, a vehicle-borne suicide bomber at Lethpora in the Pulwama district,J&K, India attacked a convoy of vehicles carrying CRPF(Central Reserve Police Force) Jawans. The attack was carried-out by Adil Ahmad Dar (Member of Jaish-e-Mohammad) which killed 40 CRPF Jawans and full responsibility of attack was was claimed by the Pakistan-based Islamic terror group Jaish-e-Mohommad (JeM)
The Indian Air Force on 26/Feb/2019 morning crossed Line of Control and carried out air strike at multiple terrorist training camps. This Air Strike was amid to destroy all the JeM terror camp which was running in the presence of Pakistan (Aatankistan) in Balakot Pakistan.
According to India Air Force 12 Mirage Fighter jets crossed Line Of Control and struck JeM terror launchpads in Balakot, Chakothi and Muzaffarabad areas in Pakistan, where this terror camps were running under the supervision of ISI and Pakistan. The Mirage Fighter jets dropped 1000 kg of bombs at terrorist training camps around 3:30 AM and whole operation took only 21 minutes for IAF and they came back safely without any causality.
AIR STRIKE IMPACT ON THE INDIAN STOCK MARKET
Just after the news of Air strikes, the Indian Rupee opened at 71.25 which was 27 paisa weaker with respect to yesterday’s closing price i.e. 70.98. The BSE Sensex fell nearly 500 points, whereas Nifty opened at 10775 around 100 points weaker and the fear gauged India VIX surging 17 per cent.
After that , the Indian stock market recovers around 70 points & settles around 10850. Due to increase in INR, the IT stock opened on the positive note, on the other hand Banking stocks and the NBFC opened on negative note.
- SBI economists said, After the IAF Air Strike Stock Market will see the gradual Rise in the market because the action taken by government of India will build a positive dissuasion in the minds of investors and traders.
On Air Strike day, Nifty Index and BSE Sensex fell 1.3% Intraday before paring losses to end day 0.41% and 0.66% weaker.
India and Pakistan (Aatankistan) fought The Kargil War during May to July 1999. During this period the Indian Stock Market showed an slightly initial decline but very strong recovery thereafter. Sensex and Nifty declined by 286 points and 79 points, respectively, in initial three days of trading, but recovered strongly thereafter and ended higher by 652 points and 191 points when the conflict ended.
It was observed that overall impact was positive for the markets after Kargil War and the Indian economy grew at a healthy 6.5 % as the year before 1999–2000.
Post Surgical strikes (URI), Indian financial markets gained with the Sensex climbing by more than 100 points and the rupee too appreciated. From a longer perspective, Indian financial markets, including the currency, stock and even the bond market showed traction. For example, stock markets jumped by 3,456 points, while the rupee appreciated by 2.4 per cent.
According to the Reports impact of air strikes on terrorist training camps didn’t had any material impact on the Indian Stock Market and it remained unaffected post Uri and Kargil, as these conflicts are more localized in nature. It is also clearly mentioned by New India that there will be bold and strong action for every terrorist attacks in future, this shows New India’s decisiveness in its foreign policy and this will in fact act as a positive mark for the Marketers.
I tried to mention as many information as possible from different sources. Please comment me in the comment box if there are any points which i missed to write down. Feel Free to comment.
Team Always stand with the Bravery of the Indian Air Forces and feel proud to have brave soldiers in our great nation. And also supports all the decisive and bold action by Government of India Against terrorism.
Jai Hind and Vandematram