INDIA: PAKISTAN-Tensions Escalate Amid Flurry Of Reciprocal Punitive Measures
Apr-24 10:52
Tensions between India and Pakistan are at their highest level in years following a terrorist attack in Indian-administered Kashmir on 22 April that killed 26 in the tourist town of Pahalgam. India, which blames Pakistan for the attack, has closed its main border crossing with Pakistan, suspended a water-sharing treaty, ordered the expulsion of military diplomats, and halted visa services to Pakistani nationals 'with immediate effect'.
- In retaliation, Pakistan, which denies any knowledge or involvement with the attack, has said that all trade, including to and from any third country through Pakistan, is suspended; that it will hold all bilateral agreements in abeyance; expel Indian military officials; and close Pakistani airspace to Indian airlines.
- The suspension of agreements includes the 1972 Simla Agreement that ended the 1971 Indo-Pakistani war and committed both sides to "settle their differences by peaceful means through bilateral negotiations".
- Indian PM Narendra Modi said earlier today, in his first public comments since the attack, that "India will identify, track and punish every terrorist and their backers and we will pursue them to the ends of the Earth,"
- Coming at a time of already heightened geopolitical tensions, any escalation between arguably the world's two most adversarial nuclear powers will garner significant global interest.
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- Data: Philly Fed non-mfg Mar (0830ET), FHFA/S&P CoreLogic house prices Jan (0900ET), Conf. Board consumer survey Mar (1000ET), New home sales Feb (1000ET), Richmond Fed mfg Mar (1000ET)
- Fedspeak: Kugler on economy (text only), Williams opening remarks (text only)
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- Bill issuance: US Tsy $70B 6W bill auction (1130ET)
