The Pakistan Stock Exchange (PSX) experienced a sharp decline following US President Donald Trump’s announcement of increased military strikes on Iran. Investors reacted to heightened geopolitical tensions with immediate selling pressure.
From the opening bell on Thursday, the market showed significant negative sentiment. The PSX 100-Index initially dropped 3,763 points, settling at 151,748 points.
As trading continued, the downward trend intensified. By mid-session, the 100-Index had fallen 4,088 points, reaching 151,423 points, reflecting widespread investor concern.
The PSX 100-Index closed the session down by 2.63 percent, marking one of the largest single-day declines in recent weeks. Analysts noted that the announcement triggered panic selling across multiple sectors.
Earlier, the market had seen gains following Trump’s statement about a potential quick exit from Iran, which had boosted investor confidence temporarily. The contrast highlights the sensitivity of the stock market to geopolitical developments.
Experts say that continued tensions in the Middle East may further impact regional markets, as investors monitor both political announcements and global oil price movements closely.
Overall, the sharp fall in the Pakistan stock market underscores the market’s vulnerability to international events, particularly conflicts in the Middle East, and highlights the need for cautious investment strategies during such uncertain times.
