Karachi, November 26, 2024-The Pakistan Stock Exchange (PSX) witnessed a turbulent session on Tuesday as the benchmark KSE-100 Index suffered its largest single-day drop in recent months, plunging over 3,500 points amid heightened political unrest in Islamabad.
The day began on a bearish note, with the KSE-100 Index dropping to an intra-day low of 97,361 points as concerns grew over the escalating protests in the capital and the deployment of the Pakistan Army to maintain order.
A brief recovery was seen mid-morning, driven by buying activity in the banking sector, which pushed the index to an intra-day high of 99,819.59 points. However, the rebound proved short-lived as the market struggled to sustain momentum.
Afternoon trading brought further selling pressure, dragging the index to around 94,200 points before closing at 94,574, marking a total decline of 3,506 points (3.57%).
Market analysts at Topline Securities attributed the sharp selloff to political instability, citing growing fears among investors over the protests and the PTI-led march toward the capital.
The plunge came in stark contrast to Monday’s session, which saw the KSE-100 Index rally to an all-time high above 98,000 points. That gain had been fueled by robust investor interest in the banking sector and temporary relief from political uncertainty.
Tuesday’s downturn underscores the market’s sensitivity to political developments, as investors adopt a cautious approach amid the ongoing unrest.