India rupee, shares, bonds weaken after India says it 'neutralised' attempts to engage military targets

Reuters

Thu, May 8, 2025, 2:37 AM 1 min read

MUMBAI (Reuters) -The Indian rupee, equities and bonds dropped successful precocious day trading connected Thursday aft India said it "neutralised" attempts by Pakistan to "engage" respective subject targets successful its bluish and occidental regions connected Wednesday nighttime and aboriginal Thursday.

Indian equipped forces targeted aerial defence radars and systems astatine a fig of locations successful Pakistan connected Thursday, the authorities said successful a statement. Pakistan's subject said that it had changeable down 25 Indian drones.

The rupee declined to a debased of 85.59 per dollar, down 0.8% connected the time portion the benchmark 10-year enslaved output roseate implicit 7 ground points from its day's debased to 6.3807%.

India's benchmarks NSE Nifty 50 and BSE Sensex extended losses to gaffe 0.5% and 0.4%, respectively, hovering adjacent their league lows.

"This is simply a knee-jerk absorption from the markets conscionable arsenic we had expected owed to escalation of borderline tensions," said Sandeep Bagla, main enforcement serviceman astatine Trust Mutual Fund.

The Nifty volatility scale has risen successful 10 of the 11 sessions since the Islamist militant attacks connected Hindu tourists successful Kashmir past month. The fearfulness gauge roseate to 21.48 successful intraday trade, the highest since April 9.

(Reporting by Jaspreet Kalra, Khushi Malhotra and Bharath Rajeswaran; Editing by Mrigank Dhaniwala)