J-10 fighter jet maker AVIC Chengdu share price crashes 5% after Asim Munir-Donald Trump meeting

AVIC Chengdu Aircraft share price: The Chinese defence stock, AVIC Chengdu Aircraft, cracked 5% in intraday deals on Thursday following a sharp rally a day ago.

The stock, which manufactures J-10 fighter jets used by Pakistan against India in the latest military flare-up, had surged nearly 10% on Wednesday ahead of a meeting between Pakistan Army Chief Munir and US President Donald Trump at the White House. However, today, the stock reversed course amid a lack of any announcements, which dampened sentiment. Analysts had signalled that any positive developments could have acted as a fresh trigger, but a lack of announcements could dampen sentiment.

AVIC Chengdu Aircraft stock price trend

AVIC Chengdu Aircraft share price opened at 86.59 yuan, lower than the last closing price of 88.93 yuan. The J-10 fighter jet maker's stock further tumbled to the day's low of 84.26 apiece, recording a 5.25% decline over the last close.

The stock has declined in three of the last five trading sessions, yet it managed to gain around 9% during this period. The monthly trend for AVIC Chengdu Aircraft shares remains strong, with the scrip rising 31% in May and 11% in June so far.

Aim Munir-Donald Trump meeting

This was Munir's first meeting with Donald Trump in the wake of the Iran-Israel war and following military clashes with India. With Trump considering possible US involvement in the Middle East, the meeting assumes importance as Pakistan has declared its "clear and strong" for Iran.

At the meeting, Trump praised Amir Munir for his role in preventing the escalation of the conflict between India and Pakistan. Trump said, "Reason I had him here was I wanted to thank him for not going into the war and ending it..."

However, Prime Minister Narendra Modi told Trump late on Tuesday that the ceasefire was achieved through talks between the Indian and Pakistani militaries and not US mediation, India's foreign secretary Vikram Misri said earlier on Wednesday.

The heaviest fighting in decades between India and Pakistan, which spanned over four days involving drones, fighter jets and missiles, was sparked by an April 22 attack in Kashmir's Pahalgam that killed 26 people.

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