Terror attacks in Mumbai: Raamdeo Agrawal, others react

Adrian Mowat of JPMorgan said the long-term economic impact of the terrorist incidents will be minimal. He said the event will hit market sentiment and not the long-term earnings. "The tourism and travel industry will be impacted in the near-term. However in the long-term, sentiment to invest and travel to India won't be affected." Mowat said he has advised about 10,000 of his Indian colleagues to stay at home as the markets are closed and one of their offices is near the Oberoi Hotel. He ensured that despite of this situation, the markets will be back to business again.

Nikhilesh Bhattacharyya of Moody's Economy.com said given the current global pressure, terror attacks may see the rupee depreciating further. "There may be some effect on business trips to India in the short-term."

PN Vijay said, "It is very unfortunate that it has hit India's financial capital and those too prime locations like the Taj and the Oberoi which are areas where foreign investors and foreigners generally stay. It is sad and its coming on a part of a series of attacks in major cities of India."

Ravi Mohan, Regional Head and MD, S&P said there is no direct correlation on corporate ability to repay debt. He said they would look into long-term implication on capital flow.

Sandy Jadeja, Head - Equities, ODL Securities informed CNBC-TV18 that European markets seem to have stabilised after hearing about the event. He feels that once the Indian markets open there maybe 3-5% shocks. He believes the real key right now is to get investor confidence back into the markets.  He expects the Nifty to retest the 2,200 levels. "Once the market breaks through that level, we could quickly see a spike down. But these would be panic lows and we should revert back to normalcy of at least within a couple of hours of trading if not within the two day session." 

Jadeja said that historically, Novembers and Decembers tend to be positive months for trade and added that any events that have actually occurred in these months have been short-lived. "We should start seeing the blow softening at least by tomorrow's session if not, in the early part of next week. The markets at the moment are still very jittery to any sort of events whether it is financial or terrorist events. We find that these types of market environments especially in a bear market can see devastating blows to the markets in the very short-term."

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