PSX plunges over 1,500 points amid Middle East tensions

The Pakistan Stock Exchange (PSX) started the new trading week on a bearish note, with the benchmark KSE-100 Index losing more than 1,500 points in early trading as investors reacted to rising geopolitical and oil-supply concerns.

The market came under strong selling pressure as uncertainty surrounding the Middle East increased. Concerns grew after diplomatic efforts involving Iran and Gulf countries were delayed, while fresh attacks around major oil transit routes raised fears of further disruptions to global energy supplies.

The KSE-100 Index initially fell by 1,491 points, or 0.87%, to 169,020.85 shortly after the market opened. Selling pressure later pushed the benchmark below the 169,000-point level.

At around 1:39pm, the index stood at 169,112.37, down 1,399.48 points, or 0.82%, from the previous close of 170,511.85. The benchmark touched an intraday low of 168,691.34, while its highest level during the session was recorded at 170,437.72.

The sharp swings reflected heightened caution among investors, who continued to reassess their exposure to riskier assets amid uncertainty in international markets.

Rising crude oil prices also added pressure to investor sentiment. Renewed concerns over oil supplies followed attacks affecting infrastructure and shipping routes in and around the Middle East, increasing fears that prolonged disruptions could push energy costs higher.

Trading activity remained relatively strong, with around 141.57 million shares changing hands during the session. The total value of traded shares stood at approximately Rs9.17 billion.

The decline marked a weak opening to the week for the country’s equity market, with investors closely monitoring developments in the Middle East and their potential impact on oil prices, inflation and Pakistan’s external account.

Further developments in regional tensions and global energy markets are likely to influence trading sentiment in the coming sessions.