The Pakistan Stock Exchange (PSX) opened the week in the red, plunging more than 15,000 points amid heightened geopolitical tensions following the US-Iran conflict, which has also rattled global stock markets.
PSX’s benchmark KSE-100 index hit an intraday high of 155,913.35 (down 12,148.81 points, or 7.23%) and a low of 152,717.46 (down 15,344.70 points, or 9.13.00 percent, or 16.0%), compared with the previous 16.06.
“Due to panic selling, PSX fell 9%. Leveraged position combined with Iran and Afghanistan positions added fuel to the fire,” Topline Securities CEO Mohammed Sohail told Pakinomist.tv.
AAH Soomro, an independent investment and economic analyst, said: “This is panic mode. May last a few days. Watch oil. Below 80 should settle the market by Friday.”
Following the carnage on the stock market, trading was halted for 45 minutes until 10:27 before it resumed.
Trading was halted for 45 minutes during the sell-off before resuming as risk-off sentiment spread across global markets.
US and Israeli military attacks on Iran showed no signs of abating, while Iran responded with missile barrages across the region.
In the Middle East, the United Arab Emirates and Kuwait temporarily closed their stock markets, citing “usual circumstances”.
For Europe, EUROSTOXX 50 futures fell 1.4% and DAX futures fell 1.3%. On Wall Street, S&P 500 futures and Nasdaq futures both lost 0.6 percent.
Meanwhile, oil prices rallied as Brent briefly surged nearly 14% and West Texas Intermediate nearly 12% at the start of business following the attack on Iran that martyred Supreme Leader Ayatollah Ali Khamenei and other senior officials.
The bombings have also seen the vital Strait of Hormuz – through which around 20% of global seaborne oil passes – effectively closed and several ships attacked, sparking supply fears.
On Friday, the KSE-100 fell by 830.92 points or 0.49% to 168,062.17 points from 168,893.09 points. The highest index of the day was recorded at 169,379.97 points, while the lowest was 165,811.88 points.
