Avic Chengdu Aircraft Shares Plunge After PM Modi’s ‘Operation Sindoor’ Success Speech

‘Operation Sindoor: Chinese defense firm Avic Chengdu Aircraft, the maker of J-10 fighter jet, witnessed a major plunge in its stock value (down 9%) today.

The decline was prompted by Prime Minister Narendra Modi's speech about the successful execution of Operation Sindoor.

However, despite this loss, the company's shares have recorded an impressive rise of over 60% since the operation commenced on May 7.

Also Read: Pakistan Reacts to PM Modi’s Operation Sindoor Speech: ‘Hope India Will…’

Following Modi's speech, shares of several Chinese defense firms witnessed a major selloff. This was even as Indian defense stocks witnessed an upswing. To note, the J-10 fighter jets were used by Pakistan during its recent skirmish with India.

As PM Modi sent a stern message to Pakistan over state-backed terrorism, shares of Chinese firm Avic Chengdu Aircraft plunged sharply, even as Indian defence stocks rallied post Operation Sindoor.

Narendra Modi a firm message from Adampur Air Base to Pakistan: Not only have you failed to harm any of India's military installations but “you will be annihilated if terrorism continues from your soil”.

In his address, Modi gave a stern warning to Pakistan that India will not bow down to nuclear threats.

Also Read: From Adampur Airbase, PM Modi Warns of New ‘Laxman Rekha’ Pakistan Must Not Cross

He also made a statement that "terror and trade, terror and talks cannot go together."

Modi praised India's air defense system for its effectiveness against Pakistani drones and missiles during Operation Sindoor.

Railway minister Ashwini Vaishnaw also took a dig at Pakistan, which had claimed to have destroyed the Adampur air base during its attack on the night of May 9–10, in response to India’s Operation Sindoor.

Anshul Jain, Head of Research at Lakshmishree Investment, gave insights into the stock performance of China's Chengdu Aircraft.

Jain observed that the stock price broke out of its base at CNY 73 per share and surged quickly to CNY 97.55.

After this sharp rally, profit booking has set in and a retest of the breakout zone around CNY 73 per share seems likely.

Also Read: ‘Ghar Me Ghuske Maarenge’: PM Modi Reiterates Stern Warning from Adampur Air Base