PSX Loses Nearly 3,800 Points as Geopolitical Anxiety Rattles Investors
The Pakistan Stock Exchange suffered a sharp selloff on Monday, with the benchmark KSE-100 index shedding nearly 3,800 points as investors retreated amid heightened geopolitical tensions in the broader region. The decline represents one of the steeper single-session losses recorded in recent months and reflects mounting risk aversion across emerging markets.
The sell pressure was broad-based, with energy, banking, and cement sectors among the hardest hit. Market analysts attributed the rout primarily to uncertainty stemming from the ongoing Iran conflict and its potential spillover effects on oil prices, supply chains, and regional stability.
Trading volumes were elevated as institutional and retail investors alike moved to reduce exposure, with foreign portfolio outflows adding further pressure on the index. The rupee also came under marginal pressure during intraday trade, though currency market movements remained contained relative to the equity decline.
The session closed significantly lower, with sentiment described as deeply cautious. Market participants indicated they would watch for further geopolitical developments before reassessing positions, with many expecting continued volatility in the near term absent a diplomatic resolution to regional tensions.
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