The unidentified militants opened fire on the police party in main market in Chrar-e-Sharief area of Budgam at around 3.15 PM, a police officer said.
Two locals and ASI Abdul Rashid were injured in the attack and were evacuated to hospital, he said.
The area was immediately cordoned off by the security forces, including Army, the officer said.
Intermittent firing between militants and security personnel was going on when the last reports came, the officer said, adding more reinforcements were rushed to the spot and efforts are on to neutralise the militants.
Kashmir Valley has seen a spurt in militant attacks in past few months. The latest was the attack on CRPF convoy last week, the deadliest strike on security forces in recent years, in which eight CRPF personnel were killed and 21 critically wounded.
The government told the assembly yesterday that militants were striking on soft targets because of continuing pressure from security forces.
The attack in south Kashmir took place on a day Union
Home Minister Rajnath Singh chaired a high level meeting in Srinagar to review the security situation in J and K in the wake of recent spurt in militant attacks including the deadly Pampore strike.
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