Karachi: Trading at the Pakistan Stock Exchange (PSX) halted abruptly on Monday after the benchmark KSE-100 index plunged nearly 10,000 points in early trading, as escalating tensions in the Middle East rattled investors.
The sharp sell-off triggered panic across the market, prompting authorities to suspend trading temporarily after heavy losses swept through multiple sectors. The benchmark index dropped by 9,780 points to 147,715.95 during the opening session, marking a decline of 6.21 percent.
Investors rushed to pull funds as global uncertainty deepened and oil prices surged sharply due to the ongoing conflict involving Iran, the United States and Israel.
Broad selling pressure hits major sectors
Selling pressure spread across nearly all major sectors of the market. Automobile assemblers, cement companies, commercial banks, oil and gas exploration firms, oil marketing companies, power generation entities and refineries all recorded steep declines.
Similarly, several heavyweight stocks traded deep in the red. These included MCB Bank, Meezan Bank, National Bank of Pakistan, Mari Petroleum, Oil and Gas Development Company, Pakistan Petroleum Limited, Pakistan State Oil, Sui Northern Gas Pipelines, Sui Southern Gas Company and Hub Power Company.
The sudden market downturn reflected growing investor anxiety as global markets also reacted negatively to geopolitical developments.
Oil price surge fuels global market anxiety
Meanwhile, oil prices surged nearly 30 percent on Monday, reaching their highest levels since July 2022. The spike followed fears of supply disruptions as the US-Israeli conflict with Iran intensified.
Several Middle Eastern producers have already begun cutting output. Iraq and Kuwait reduced oil production, while Qatar previously scaled back liquefied natural gas shipments.
Analysts also warned that the United Arab Emirates and Saudi Arabia may soon reduce output as storage facilities fill and export routes face disruption.
Furthermore, shipping through the Strait of Hormuz — a key corridor for global energy supplies — remains severely affected.
Earlier on Friday, the PSX had already faced heavy losses as the KSE-100 index dropped more than 3,700 points to close at 157,496.10.
