Pakistan Stock Market Crashes Over 5,000 Points, KSE-100 Falls To 161,638 Before Partial Recovery Amid Iran Blockade Tensions
· Free Press Journal
Mumbai: Pakistan’s stock market opened with a steep fall on Monday. The benchmark KSE-100 index dropped more than 5,000 points in early trade.
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By around 9:50 AM, the index hit an intraday low of 161,638.07. This was a sharp fall compared to its previous closing level of 167,191.37.
Partial recovery later
After the sharp fall, the market showed some recovery. The index moved around the 162,000 level for some time.
Pakistan Stock Market Surges 12,000 Points In A Day, KSE-100 Jumps 8.15% To 1,64,035 After Ceasefire NewsLater, it crossed 163,000 and touched an intraday high of 163,429.78 around 11 AM. However, the market remained highly volatile during the session.
Reason behind the crash
The main reason for the crash was rising geopolitical tensions. US President Donald Trump ordered a blockade on Iranian ports after talks with Tehran failed.
This decision increased tensions in the region and created uncertainty in global markets. Investors reacted by selling stocks, leading to the sharp fall.
Pakistan Stock Exchange: PSX Stabilises After Record 14,000-Point Rally Amid US-Iran Ceasefire UncertaintyImpact of Strait of Hormuz tension
The situation also raised concerns about the Strait of Hormuz, a key global shipping route for oil.
Iran has warned that any military movement near the area could be seen as a violation of the ceasefire. This has increased fears of disruption in energy supply, affecting regional markets including Pakistan.
Earlier rally adds to volatility
Earlier this month, Pakistan’s stock market had seen a strong rally. On April 8, the KSE-100 index jumped over 14,000 points after ceasefire news.
The index had risen 8.15 percent to 164,035.83, marking one of the biggest single-day gains in its history.
The recent sharp fall shows how quickly market sentiment can change due to global events.
Disclaimer: This article is for informational purposes only and not investment advice. Market movements involve risks. Readers should consult certified financial advisors before making any financial or investment decisions.