Stocks turn negative as India-Pakistan tensions worsen [Reuters (UK)]
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Source: Reuters
Stocks turn negative as India-Pakistan tensions worsen | Reuters 6 Min Read TOKYO (Reuters) - Asian shares and Wall Street stock futures turned negative on Wednesday after Pakistan said it had shot down two Indian jets in its territory, sending investors out of riskier markets and into more conservative choices such as the yen. Islamabad said on Wednesday it had carried out airstrikes in Indian-controlled Kashmir and shot down two Indian jets in its own airspace, capturing one of the pilots as the risk of conflict between the nuclear-armed neighbours escalates. The dollar remained near a three-week low, weighed by earlier comments from Federal Reserve Chairman Jerome Powell who on Tuesday reiterated the central bank’s shift to a more “patient” policy approach. Indian bonds, stocks and the rupee all sold off. The flare up in geopolitical risks hit broader sentiment, driving investors out of stocks and into safe-haven assets with U.S. stock futures slipping and the Japanese yen gaining.
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