The escalating tensions between India and Pakistan and 'Operation Sindoor' have impacted global stock markets. However, the Indian markets have shown relative stability, while significant declines have been seen in Pakistan's markets.
🇵🇰 Pakistan's Stock Market: Significant Decline
After 'Operation Sindoor', a 5% decline was recorded in Pakistan's Karachi Stock Exchange (KSE-100). This decline was due to investor concerns and the outflow of foreign capital. ([The Times of India][2])
🌍 Impact on Global Markets
Despite the India-Pakistan tensions, there has been limited impact on global markets. Experts believe that the likelihood of full-scale war is low, which has not caused panic among investors. ([India Today][3])
📈 Historical Perspective: The Impact of India-Pakistan Wars on the Market
During previous India-Pakistan conflicts, Indian stock markets saw an average decline of 5-10%, but these declines were short-lived. For example, after the Pulwama attack in 2019, the market declined by 1.8%, while during the 2008 Mumbai attacks, the market increased. ([mint][4])
Conclusion
Despite the escalating tensions between India and Pakistan, Indian stock markets have shown stability, while significant declines have occurred in Pakistan's markets. There has been limited impact on global markets, and investors are advised to adopt a long-term perspective.