Benchmark KSE-100 Index falls 2.48% amid broad-based selling across key sectors
islamabad
The Pakistan Stock Exchange (PSX) extended losses on Wednesday, with the benchmark KSE-100 Index closing sharply lower after comments by US President Donald Trump regarding Iran unsettled global financial markets and weighed on investor sentiment.
The benchmark index settled at 181,629.36 points, down 4,626.19 points, or 2.48%, from the previous close of 186,255.55.
The market remained under pressure throughout the session, touching an intraday high of 185,215.56 points and a low of 179,504.34 points before recovering some losses by the close.
Trading activity remained robust, with more than 571.94 million shares changing hands, while the total traded value stood at Rs45.80 billion.
“The statement by President Trump about the ceasefire effectively being over has spooked oil and equity markets. The reaction to that can be witnessed in the market with shares coming off violently from their recent highs,” Ismail Iqbal Securities Chief Executive Officer Ahfaz Mustafa told Geo.tv earlier in the day.
Meanwhile, oil surged by more than 5% on Wednesday and global stocks and bond prices tumbled, as investors fled risk assets after Trump’s statement.
European shares dropped 1.6%, on track for the biggest one-day drop in the STOXX 600 since mid-March, while US futures ESc1, NQc1STXEc1 fell 0.8% to 1.2%.
The stock market has already been under some pressure in the last couple of weeks, as investors are increasingly questioning the valuations of some of this year’s high-flying semiconductor and AI-linked stocks.
