The KSE-100 Index fell more than 1% intraday on Monday as renewed Middle East escalation pushed oil prices higher, prompting selling at the Pakistan Stock Exchange.
The benchmark touched a low of 168,432.45, down 2,046.49 points, or 1.2%, from the previous close of 170,478.94, according to market data.
The index also hit an intraday high of 169,360.54, still down 1,118.4 points, or 0.66%, during the session.
Market analysts said worsening Iran-Israel tensions, pre-budget uncertainty, external account concerns and expectations of higher global crude prices added to selling pressure.
Brent crude futures rose $3.20, or 3.39%, to $96.24 a barrel as of 0333 GMT. US crude futures climbed $2.87, or 3.17%, to $93.41 per barrel.
Read: KSE-100 Index Rises 421 Points At Pakistan Stock Exchange
Oil prices gained after Israel launched renewed strikes in Lebanon and reports of explosions emerged from Iran. Local media reported blasts in Tehran, Tabriz and Isfahan early Monday.
The gains erased Friday’s oil losses, when prices had fallen on hopes of de-escalation in the US-Iran conflict. The conflict has pushed oil prices more than 50% higher since March.
Iran fired missiles at Israeli targets on Sunday in retaliation, while President Donald Trump of the United States said an agreement to end the wider war remained within reach.
Asian markets also fell on Monday. South Korea’s KOSPI dropped 5%, Japan’s Nikkei fell nearly 4%, and Taiwan’s benchmark lost 3.9%. In the previous session, the KSE-100 Index had closed down 696.57 points, or 0.41%, at 170,478.94.
