India's fight with Pakistan is seen lifting Modi's election chances
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Once drama-free, India has now drawn attention to itself with an Indian Air Force strike against a Pakistani terrorist camp this week. The crisis, if it lasts, is seen helping incumbent Prime Minister Narendra Modi, who is trying to keep the Gandhis away from power. The general election begins in April. Modi will run against Rahul Gandhi.
Indian stocks responded with their biggest decline in almost two months on Tuesday before recovering shortly afterward. Modi has been good for the Indian economy and for investor sentiment. The market is up over 40% since he was elected in May 2014.
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