The PSX plunged 15,000 points at the start of the week as heightened geopolitical tensions following the US-Iran conflict triggered panic across financial markets.
The Pakistan Stock Exchange’s benchmark KSE-100 index dropped to 152,991.15 points, down 15,071.01 points or 8.97% from the previous close of 168,062.16 points.
Market analysts described the sharp fall as panic-driven. Leveraged positions and regional uncertainty intensified selling pressure.
PSX Plunges 15,000 Points Amid Global Market Turmoil
According to Topline Securities CEO Mohammed Sohail, panic selling led to a nearly 9% decline. He noted that leveraged positions, along with developments involving Iran and Afghanistan, added to the pressure.
An independent analyst described the situation as “panic mode,” suggesting it may last a few days. He advised investors to monitor oil prices closely, adding that levels below $80 could help stabilise the market by the end of the week.
Following the steep decline, trading at the PSX was halted for 45 minutes. Activity was scheduled to resume at 10:27 am.
Global Markets and Oil Prices React
The market turmoil comes as military strikes by the United States and Israel on Iran continue, with Iran responding through missile attacks across the region.
In the Middle East, stock exchanges in the UAE and Kuwait temporarily closed due to exceptional circumstances. Meanwhile, European and US futures also fell. EUROSTOXX 50 futures dropped 1.4%, DAX futures declined 1.3%, while S&P 500 and Nasdaq futures each slipped 0.6%.
Read: Oil Prices Surge After Iran Strikes, Brent Jumps 13% Above $82
Oil prices surged sharply at the start of trading. Brent crude briefly spiked nearly 14%, while West Texas Intermediate rose close to 12%. The surge followed reports of attacks that killed Iran’s Supreme Leader Ayatollah Ali Khamenei and other senior officials.
The Strait of Hormuz, through which about 20% of global seaborne oil passes, has effectively been shut, with several ships reportedly attacked. This disruption has heightened concerns over global energy supply.
As geopolitical tensions persist, investors worldwide remain cautious. Analysts warn that continued volatility in oil markets could further influence equity performance in the coming days.
