KARACHI: The Pakistan Stock Exchange (PSX) came under heavy selling pressure on Monday, with the benchmark KSE-100 Index falling below the 175,000-point mark as investors remained cautious amid heightened geopolitical and economic concerns.
The benchmark index closed at 173,636.75 points, shedding 1,692.75 points, or 0.97%, by the end of the trading session.
Major selling was witnessed across several key sectors, including automobile assemblers, cement, commercial banks, oil marketing companies (OMCs) and refineries.
Several heavyweight stocks also remained under pressure, with ARL, HUBCO, PSO, FFC, MEBL, NBP and UBL among the prominent stocks trading in negative territory.
Geopolitical tensions weigh on sentiment
The latest decline came after a weak performance during the previous week, when the KSE-100 Index dropped 1.3% to 175,328.81 points.
Market sentiment had been affected by renewed US-Iran military tensions, which increased uncertainty in global markets. A sharp increase in international crude prices also raised concerns over inflation and Pakistan’s external account.
Global markets mixed
In international markets, Asian equities moved higher on Monday after a stronger-than-expected US jobs report boosted optimism about global economic growth.
However, the robust employment data also reduced expectations of an imminent US interest-rate increase.
Meanwhile, oil prices edged higher following US and Iranian attacks on vessels in the Gulf, adding to concerns over potential disruptions to regional energy supplies.
Brent crude gained 0.2% to $96.45 per barrel, after rising nearly 10% last week, while US crude advanced 0.4% to $91.85 per barrel.
