The Sensex and Nifty fell in afternoon trade amid rising geopolitical tensions between India and Pakistan. While the Sensex fell 100 points to 35,000 level, Nifty fell 45 points to 10,789 level. The Sensex fell 238 points from the day's high of 36,371 and Nifty fell 188 points to 10,751 from its intra day high of 10,939 on reports of conflict in air between the two countries.
Meanwhile, Karachi Stock Exchange too lost 3.30% or 1,280 points to 37,540 after reports came that Pakistan Air Force's F-16 that violated Indian air space was shot down in Indian retaliatory fire 3KM within Pakistan territory in Lam valley, Nowshera sector. The Pakistani index has lost 2066 points in two sessions after India conducted airstrikes in Pakistan and demolished terrorist camps across the border early morning on Tuesday.
Pakistan too claimed it shot down two Indian aircraft.
"In response to PAF strikes this morning as released by MoFA, IAF crossed LOC. PAF shot down two Indian aircrafts inside Pakistani airspace. One of the aircraft fell inside AJ&K while other fell inside IOK. One Indian pilot arrested by troops on ground while two in the area," claimed Major General Asif Ghafoor, spokesperson, Pakistan Armed Forces.
Of 30 Sensex stocks, 18 were trading in the red.
Tata Motors (2.96%), Vedanta (2.92%), and Kotak Bank (1.36%) were the top Sensex losers.
BSE midcap and small cap indices too pared gains trading just 47 points and 10 points higher, respectively. The mid cap and small cap indices were trading 139 points and 120 points higher in early trade.
Auto and banking stocks which led the gains in early trade were trading 33 points higher and 120 points lower in noon trade. In early trade, the BSE auto and BSE bankex rose 234 points and 256 points, respectively.
Other major losers were consumer durables stocks with the BSE index falling 104 points to 21,140 level.
Of 19 BSE sectoral indices, 12 were trading in the red.
According to brokers, investor sentiment took a beating after Pakistan claimed that it shot down two Indian military aircraft over Pakistani air space and arrested one of the pilots.
Volatility index NSE VIX rose 12% to 19.16 level as reports poured in about the conflict in air between the two countries.
Experts said the market is pricing an escalation and its time to buy value stocks amid falling market.
Edited by Aseem Thapliyal