ISLAMABAD: Pakistan Stock Exchange has strongly reacted to dissolution of National Assembly and it crashed by more than 1000 points at the start of trading this morning (April 4).
The PSX benchmark 100-index eroded 1097 points around 10.22 am on Monday and slightly gained as net decline in 100-index stood at 895 till 11.15 am. The stock market has turned volatile today because of a deepening political uncertainty in the wake of dissolution of National Assembly. By 1:25 Noon, the 100-index of PSX dipped by 1271 points, falling to 43,880 points.
Dissolution of National Assembly has shocked investors who were expecting a clear decision in the wake of majority of opposition parties in the parliament. Instead of facing a no-confidence move, the PTI government rejected it ‘terming it a conspiracy’ and on the advice of Prime Minister, President of Pakistan Dr Arif Alvi dissolved the National Assembly, shocking everyone in the country and abroad.
At present, Pakistan Stock Exchange is trading around 44,256 points with a decline of 895 points. On Friday the PSX edged up over 45,300 points when the opposition parties claimed its majority in the National Assembly, but dissolution of NA derailed the positive sentiment at the market.
The Supreme Court of Pakistan has formed a five-member bench to hear the NA dissolution case today at 1 Noon. Only a positive development about the restoration of National Assembly can revive the bullish sentiment at the stock market, analysts said.
