Key Takeaways
- The KSE-100 Index of the Pakistan Stock Exchange (PSX) fell by 3,078.56 points, or 1.79 percent.
- Selling pressure continued, with the index dropping 1,486 points, or 0.86 percent, by midday.
- Investors remain jittery amid ongoing US-Iran conflict and elevated crude oil prices.
The Pakistan Stock Exchange (PSX) experienced a significant downturn on Thursday, with the KSE-100 Index closing at 168,865.04 points, a steep decline of 3,078.56 points, or 1.79 percent, from the previous session's close of 171,943.60 points.
The market opened weakly after a 699-point decline on Wednesday and briefly touched an intra-day high of 171,945.83 before sliding to a session low of 170,054.92 by midday, dropping 1,486 points, or 0.86 percent, to 170,457.57.
Trading volume was lower than recent sessions, with 628.673 million shares traded, compared to 143.37 million shares with a traded value of Rs8.10 billion.
Investors remained cautious amid the ongoing US-Iran conflict, including attacks on shipping in the Strait of Hormuz, and elevated crude oil prices, which have remained above $100 a barrel.
Higher oil prices have already pushed local petrol and diesel rates up, raising fears of renewed inflationary pressure, a wider import bill, and possible implications for monetary policy.
Selling pressure was visible across index-heavy sectors, including commercial banks, cement, fertilizer, oil and gas exploration companies, and oil marketing companies. Heavyweights such as FFC, MCB, Lucky Cement, Meezan Bank, MARI, OGDC, and PSO traded in the red during the morning session.
The decline extends a multi-day slide, with the KSE-100 losing ground due to geopolitical uncertainty and profit-taking after earlier gains.
Analysts noted that market direction in the remaining hours would depend on any fresh developments in the Middle East and movements in international oil prices. Selective buying in a few stocks provided limited support, but the overall sentiment remained cautious.
