The Pakistan Stock Exchange (PSX) extended its losing streak on Thursday. Consequently, the benchmark KSE-100 Index plunged nearly 2,700 points amid broad-based selling.
At the closing bell, the KSE-100 Index settled at 171,739.44 points. The market lost 2,690.48 points, reflecting a decline of 1.54%.
Selling Pressure Hits Major Market Sectors
Investors continued to offload stocks across key sectors during the trading session. Commercial banks, fertilizer firms, and oil exploration companies remained under pressure.
Moreover, oil marketing companies, power generation firms, and refineries also recorded losses. As a result, market sentiment stayed weak throughout the day.
The decline followed a sharp fall in the previous session. On Wednesday, the benchmark index closed at 174,429.93 points.
The market shed 1,703.64 points during that session. Therefore, the index recorded a decline of 0.97%.
Analysts linked the selloff to rising geopolitical tensions in the Middle East. Furthermore, concerns over higher global oil prices affected investor confidence.
Rising Oil Prices Add to Investor Concerns
Meanwhile, international oil prices extended their upward trend on Thursday. Prices climbed more than 1.5%, reaching their highest levels in over six weeks.
The increase followed fresh US strikes on Iran. In addition, Yemen’s Houthi group targeted oil tankers in the Red Sea.
These developments heightened concerns about possible disruptions to global oil supplies. Consequently, energy markets reacted with strong gains.
Brent crude futures rose $1.93, or 2%, to $96 per barrel. Earlier, the benchmark settled above $94 in the previous session.
Similarly, US West Texas Intermediate crude gained $1.44, or 1.7%. The contract traded at $88.27 per barrel after Wednesday’s strong rally.
Rising energy prices and geopolitical uncertainty continue influencing investor sentiment. Therefore, traders remain cautious about near-term market direction.
