A day after the U.N. appealed for restraint following Tuesday's deadly attack in Indian-administered Kashmir, India reported an exchange of fire across the de facto border in the disputed region.

In response, Pakistan also announced shutting its airspace to all Indian airlines and suspended trade with New Delhi including through third countries. Islamabad also rejected India's suspension of the Indus Waters Treaty and said any measures to stop the flow of water belonging to Pakistan under the pact will be seen as an "act of war".

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