New Delhi, May 12 -- Despite the potential for heightened geopolitical tensions between India and Pakistan to escalate into a military conflict, the Indian equity markets are unlikely to see a significant negative impact, according to a recent report by JM Financial.

The report draws on historical data to support its view, noting that while equity markets have largely remained resilient during past conflicts, the broader economy has not been as immune.

It said "Past data suggests that the Indian equity markets have not been negatively impacted significantly during such conflicts, but the Indian economy has been adversely affected".

The report highlighted that during previous wars -- including the Indo-China war of 1962, and Indo-Pak co...