KSE-100 Suffers 1,335-Point Fall as Global Market Turmoil Triggers Sell-Off
Negative sentiment gripped the Pakistan Stock Exchange (PSX) on Friday as global markets plunged and escalating US-China trade tensions rattled investor confidence.
The benchmark KSE-100 Index shed 1,335.88 points, or 1.15%, to close at 114,853.33, after briefly touching an intra-day low of 114,639.92.
Trading began in a range-bound pattern, but the second half saw intensified selling pressure across major sectors.
📉 Key Sectors Under Pressure
Broad-based selling was seen across:
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Automobile assemblers
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Commercial banks
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Oil & gas exploration companies
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Oil marketing companies (OMCs)
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Power generation
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Refineries
Heavyweight stocks that dragged the index included MARI, OGDC, PPL, POL, PSO, SNGPL, HUBCO, MEBL, NBP, and MCB, all of which ended in the red.
🌐 Global Market Slump Adds Fuel
The PSX decline mirrors a global equity selloff driven by:
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Soaring US bond yields
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A steep decline in the US dollar
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Tariff uncertainty following President Donald Trump’s tariff hikes, later paused for 90 days
Despite a temporary relief rally, investor confidence was quickly eroded amid volatile policy signals and rising fears of a global recession.
International market highlights:
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Japan’s Nikkei fell 4.5%
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South Korea’s KOSPI dropped 1.7%
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MSCI Asia-Pacific Index (excluding Japan) slid 0.5%
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US 10-year Treasury yields rose to 4.475%, the biggest weekly gain since 2001
🛡️ Safe Havens Rise, Dollar Falls
The turmoil prompted investors to flee to safe-haven assets:
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The Swiss franc surged to its highest since 2015
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Gold hit a new all-time high
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The US dollar slumped, especially against the franc and yen
🇵🇰 Pakistan’s Concerns on Tariff Impact
At a media briefing, Ambassador Shafqat Ali Khan, Pakistan’s Foreign Office spokesperson, expressed concerns over the negative impact of US tariff policies on developing economies. He called for a mutually beneficial resolution to protect global trade integrity.
📈 Currency and Volume Highlights
While the equity market plunged, the Pakistani rupee posted a slight gain, appreciating 0.03% to close at PKR 280.47 per USD, up from PKR 280.56.
Market activity highlights:
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Total volume: 458.59 million shares (vs. 638.09 million last session)
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Total value: Rs31.63 billion (down from Rs36.92 billion)
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Volume leaders:
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Pak Elektron: 40.74 million shares
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Sui Southern Gas: 38.08 million shares
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Bank of Punjab XD: 33.17 million shares
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Out of 441 companies traded:
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137 advanced
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244 declined
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60 remained unchanged
📊 Outlook
With ongoing global uncertainty, investor caution is likely to persist. Key factors to watch include:
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Developments in US-China trade talks
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Direction of US interest rates
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Commodity prices, particularly oil and gold
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Domestic cues like privatization progress, corporate earnings, and macroeconomic data
Stable policy communication and global economic clarity will be crucial in restoring confidence at PSX.
