Indian soldiers are fighting at least one gunman at the luxury Taj Mahal hotel in Mumbai more than 48 hours after deadly attacks were launched across the city that have killed at least 140 people.

The hotel was among at least seven sites attacked late Wednesday by an estimated two dozen militants who went on a shooting spree.

While almost 100 people were rescued from another hotel, five hostages were confirmed killed at a Jewish community centre after a troop assault. Two gunmen were also found dead.

The Taj Mahal hotel was one of the Mumbai landmarks popular with foreign visitors and businesspeople which were attacked.

Commandos from the National Security Guard stormed the Chabad Lubavitch Jewish centre, abseiling onto the roof from helicopters.

From a neighbouring rooftop, troops shot at suspected militants in the building.

At least 24 young men, armed with machine guns and grenades, fanned out across the city on Wednesday evening, indiscriminately shooting into crowds of people.

At least 93 people were rescued from the Oberoi-Trident hotel after commandos cleared it of gunmen.

Most of those freed were Westerners.

The relief of the guests at the end of their ordeal was evident.

However, more than 20 people are thought to have died in the Oberoi.