The Pakistan Stock Exchange (PSX) saw a significant drop on Monday, losing over 3,000 points during intra-day trading because of a global market decline.
The index opened at 118,791.66 and dropped to 115,719.18 early in the day, a decrease of 3,072.48 points or 2.59%. It saw fluctuations between a high of 117,601.62 and a low of 115,397.00, with 89.76 million shares changing hands for a total of Rs8.22 billion. Traders cited diminishing hopes for policy changes, ongoing macroeconomic challenges, and profit-taking after a recent rally as reasons for the drop. Focus now shifts to negotiations with the IMF and the upcoming budget announcements.
Read: Asian Stock Markets Crash as Trump Tariffs Spark Panic Selling
The PSX’s plunge mirrored turmoil across Asian markets, largely triggered by U.S. President Donald Trump’s tariff increases and China’s retaliatory 34% counter-tariffs. Japan’s Nikkei index fell by 8%, leading to a 10-minute trading halt, while China’s Shanghai Composite dropped by 6.7%, and Hong Kong’s Hang Seng index plummeted by 9.28%.
South Korea’s Kospi and Taiwan’s Taiex also saw significant declines of 4.8% and 9.7%, respectively, prompting trading suspensions. Moreover, Australia’s index lost 6.3%. This widespread sell-off, fueled by fears of a trade war and recession, erased trillions from global markets.
Read: Saudi Stock Market Plunges 6.78% in Biggest Drop Since 2020
With the PSX facing a steep fall amid no fresh positive triggers and shaken investor confidence due to Trump’s tariffs, Pakistan is bracing for increased market volatility as the Asian markets reel.
