Rafale’s market crashes, JF-17 manufacturer’s stock price soars after Indian debacle

International defence stocks have reacted noticeably after India launched Operation Sindoor, striking at least six targets in Pakistan and Azad Kashmir early Wednesday morning. ⁠

France's Dassault Aviation saw a 6% drop in share value, while China's Chengdu Aircraft Corporation (CAC) recorded an 11.85% surge.

Dassault Aviation, the French manufacturer of Rafale jets, saw its share value fall by 6% following reports of the aircraft losses. In contrast, China’s CAC, which produces the JF-17 and J-10 jets used by the Pakistan Air Force, recorded an 11.85% rise in its share price.

According to Inter-Services Public Relations (ISPR), India launched airstrikes shortly after midnight on several locations in Pakistan, including Kotli, Bahawalpur, Muridke, Bagh, and Muzaffarabad. The strikes resulted in the martyrdom of at least 26 citizens and injuries to 46 others. The attack followed heightened tensions after the April 22 Pahalgam incident in Indian Illegally Occupied Jammu and Kashmir (IIOJK), where 26 Indian tourists were killed. India accused Pakistan of involvement but has yet to provide any evidence to support the claim.

In retaliation, the Pakistan Air Force shot down three Rafale jets operated by the Indian Air Force. According to international media outlets, a total of six Indian warplanes were downed in the encounter.

ISPR Director General Lt Gen Ahmed Sharif Chaudhry confirmed that Pakistan had responded to the Indian strikes and had downed five Indian Air Force jets, including three Rafale fighter aircraft. He also stated that an Indian Army brigade headquarters and a military post in the Dhundial sector along the Line of Control (LoC) were targeted and destroyed.

"All of our air force jets are airborne," said the ISPR DG. "This is a shameful and cowardly attack that was carried out from within India's airspace. Pakistan will respond to this provocation at a time and place of its choosing."

The situation remains tense, with both sides on high alert and conducting damage assessments. Further statements from both governments and military spokespersons are expected in the coming hours.