India Business Inc Backs Surgical Strikes Even as Sensex, Bonds, Rupees Crash; Rs 2.4 Lakh Cr Wiped Out!
Yesterday afternoon, entire India waited with baited breath as Lt Gen Ranbir Singh, chief of India’s military operations, informed the nation that Indian military has carried out surgical strikes against Pakistani terror launch pads in PoK. Lt Gen told that 36 terrorists and 2 Pakistani soldiers were killed in the ambush, which was stealthily conducted day before yesterday.
These surgical strikes were in retaliation of a cowardly terrorist attack in Uri, Kashmir wherein 18 brave Indian soldiers martyred, protecting India. PM Modi had already warned Pakistan against supporting terrorism and anti-India activities on its soil.
The nation erupted into a never-seen-before patriotic zeal and every political party, institution and citizen supported the Indian Govt. on it’s decision to wipe out terror; even if that meant intruding into PoK territory.
However, amidst the chaos and confusion, there was one fall out from the economic side of affairs: Stock market crashed and bonds slumped across all markets.
Sensex Plunges 500 Points; Rs 2.42 Lakh Wiped Out
As news of Indian surgical strikes swept the nation, traders panicked, and they began selling their shares from all verticals. As rumors of Pakistani retaliation kept spreading, there was widespread selling reported from Indian stock markets, which overall resulted in Rs 2.42 lakh of investors’ money being wiped out from the market.
Nifty from National Stock Exchange fell 153.90 points or 1.76%; whereas BSE Sensex plunged 573 points, before bouncing back and gaining some percentage. At the end of the day, BSE lost 465.28 points or 1.64%.
In the BSE, investor’s money was reduced to Rs 109.62 lakh crore, as Rs 2.42 lakh crore was lost due to falling prices of shares.
Rupee crashed as well, falling 48 paisa intraday, before recovering to end at Rs 66.95, which is 39 paisa lower.
Market analysts are predicting that such volatility would exist for the next few days, as the markets would correct themselves. Some analysts are also saying that it’s the right time to buy some high performance shares.
Business Community Rallies Behind Government
Meanwhile, amidst market crash and Sensex plunging, business leaders have come together, and supported the Indian Govt. on its decision to carry surgical strikes.
Business community, showing an unprecedented show of strength and belief, has said that they are ready to bear losses; and it was high time that Pakistan is shown some hard stand.
Biocon MD Kiran Mazumdar-Shaw said that it’s time to act tough. She tweeted: “Our civil n decent response in the past hasn’t been met with reciprocity so it’s time to act tough”
Anand Mahindra repeated his earlier stand on Indian Army, when he retweeted: “I trust our army.They know how to pursue&retaliate.Their strategy need not be advertised on Twitter..”
PHD Chamber of Commerce and Industry president Mahesh Gupta has said that there will minimal impact on the Indian economy due to surgical strikes, and also assured the traders that the volatility is short-lived.
Assocham secretary general D S Rawat assured the business community that Indian economic foundation is strong, and can withstand any possible after-effects of possible retaliation by Pakistan.
Various tweets and Facebook posts from business leaders have expressed desire to cover any cost or expense incurred to stop terrorism and stop Pakistan from exporting their terrorists in India.