The Pakistan Stock Exchange (PSX) witnessed a sharp decline on Tuesday, with the benchmark KSE-100 index dropping over 3,500 points amid political unrest. Earlier in the day, the index had shown a promising start, gaining 1,431.29 points, or 1.46%, to reach 99,511.07 points from its previous close of 98,079.78 points by 11:14 am.
However, this upward momentum quickly reversed, and the index closed at 94,574.16 points, marking a steep loss of 3,505.62 points by the end of the trading session.
Analysts attributed the market’s volatility to escalating political tensions, particularly due to a march by a political party toward the capital. “The market has declined by 3,506 points due to political noise resulting from a political party’s march towards the capital,” stated Topline Securities.
The unrest intensified after clashes between Pakistan Tehreek-e-Insaf (PTI) supporters and police turned violent. The situation escalated further on Monday night, prompting the deployment of the Pakistan Army. The clashes led to the deaths of four Rangers and two police officers as PTI convoys entered Islamabad.
