Pakistan Stock Exchange Falls Over 3,000 Points Amid Iran-US Tensions

The Pakistan Stock Exchange (PSX) remained under intense selling pressure on Monday as investors reacted to escalating Iran-US tensions and fears surrounding the possible closure of the Strait of Hormuz. The uncertainty in the Middle East, coupled with rising global oil prices, triggered a sharp decline in the benchmark KSE-100 Index.

Trading at the Pakistan Stock Exchange began on a weak note, with the KSE-100 Index losing 1,815 points at the opening bell. Selling pressure intensified throughout the session, pushing the index below the key psychological levels of 179,000, 178,000, and 177,000 points.

During intraday trading, the benchmark index dropped by 3,030 points, reaching 176,897 points as investors continued to offload shares amid growing uncertainty in global markets.

Market sentiment remained bearish as concerns over the Middle East conflict and increasing international crude oil prices prompted many investors to stay on the sidelines. Analysts believe any disruption in the Strait of Hormuz, one of the world’s busiest oil shipping routes, could significantly impact global energy markets and further increase oil prices.

The decline was broad-based, with heavy selling witnessed in several major sectors. Shares of banking, fertilizer, cement, energy, and oil & gas companies came under significant pressure, contributing to the steep fall in the benchmark index.

The latest decline highlights how global geopolitical developments continue to influence the Pakistan Stock Exchange. Investors are expected to closely monitor developments in the Middle East and movements in international oil prices, as both are likely to remain key drivers of market sentiment in the coming days.