Srinagar: A gunfight broke out on Wednesday between the security forces and holed up terrorists  in Jammu and Kashmir's Anantnag town, officials said.

Police said acting on a special information, security forces surrounded Kotwal Mohalla in Anantnag in the early hours of Wednesday morning.

"As the cordon was tightened, the militants fired at the security forces. Evacuation of civilians was started before launching assault on the hiding militants," a police officer said.

Reports said firing exchanges have started in the area.

Mobile internet services have been suspended in Anantnag district as a precautionary measure.