PSX nosedives 3,500 points in heavy sell-off

The Pakistan Stock Exchange (PSX) witnessed a sharp decline on Thursday as the benchmark KSE-100 index plunged by over 3,500 points, reflecting heightened investor anxiety and broad-based selling pressure.

The index closed at 152,011 points, marking a significant drop of 2.25% on a day-on-day basis. The market opened on a weak note and remained under pressure throughout the session, with no signs of recovery as bearish sentiment dominated trading activity.

Despite the downturn, trading volumes surged to 202.9 million shares, indicating increased participation. Among the most actively traded stocks were K-Electric (KE), WorldCall Telecom (WTL), and Bank of Punjab (BOP), which collectively contributed a substantial portion of total volumes.

Heavyweight stocks, particularly in the banking, fertiliser, and energy sectors, dragged the index lower. Major laggards included United Bank Limited (UBL), Fauji Fertiliser Company (FFC), MCB Bank, Hub Power (HUBC), and Pakistan Petroleum Limited (PPL), all of which closed in negative territory.

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Sector-wise, banks emerged as the largest negative contributor, erasing over 1,200 points from the index, followed by exploration & production, cement, and fertiliser sectors. The continued selling pressure in these key sectors underscored weakening investor confidence.

Market analysts attributed the bearish trend to ongoing geopolitical uncertainties and concerns over rising global oil prices.

Going forward, investors were expected to remain cautious, with market direction largely dependent on external economic factors and global commodity price movements.