ISLAMABAD: Pakistan’s benchmark KSE-100 Index recorded its second-largest drop ever on Monday, plunging by over 11,015 points or 6.99 percent as surging oil prices due to the intensifying Middle East conflict weighs heavily on investor confidence, financial analysts said.
Trading at the Pakistan Stock Exchange was temporarily suspended after the benchmark KSE-30 Index declined by more than 5 percent from the previous day’s close. The KSE-100 Index ended the trading session by closing at 146,480.14 points.
Coordinated strikes by the US and Israel against Iran on Feb. 28 have rattled global oil markets, causing a sharp increase in the prices of petroleum products worldwide. Pakistan increased the price of petrol and diesel on Friday by Rs55 per liter each, with analysts fearing the move could trigger inflation in the coming days.
This was the second-largest drop ever recorded by Pakistani stocks. The PSX recorded its largest-ever single-day decline on Mar. 2 when it plunged by 16,089 points or 9.57 percent to close at 151,973 points, according to data shared by the PSX.
“Stocks witnessed record selloff amid the escalation in the Israel -US led Iran war,” Ahsan Mehanti, chief executive officer of Arif Habib Commodities, said in a statement.
