PSX Plunges Over 2,500 Points Amid Middle East Tensions and Oil Price Surge
The Pakistan Stock Exchange (PSX) suffered its biggest drop in recent memory on Tuesday, shedding over 2,500 points as Middle East tensions and a surge in oil prices weighed heavily on investor sentiment.
The market opened bearishly, with the benchmark KSE-100 Index plummeting by over 1,000 points in early trade. Although it recovered some losses by mid-morning, selling pressure intensified sharply after the Supreme Court ordered Imran Khan's transfer to hospital for a medical examination.
The selloff was concentrated in key sectors including automobile assemblers, cement, commercial banks, oil and gas exploration companies, OMCs, and power generation. At close, the index settled at 177.955.50, down by 2,546.94 points or 1.41% from the previous close.
The selling was triggered by a combination of global factors, including rising bond yields, climbing oil prices, and a decline in Asian stocks. The US-Iran truce had expired, and Iran threatened to adopt a 'fully offensive' military posture, heightening worries about prolonged energy supply disruptions.