PSX plunges over 3,000 points during intraday trade as bears maintain control

Pakistan’s stock market witnessed a sharp downturn as the Pakistan Stock Exchange plunged more than 3,000 points during intraday trading, reflecting intense selling pressure and bearish sentiment across key sectors.

Market participants reported widespread declines, with heavyweight stocks leading the fall amid concerns over rising global oil prices, economic uncertainty, and ongoing geopolitical tensions. The benchmark KSE-100 index faced heavy volatility, dipping significantly before attempting a partial recovery later in the session.

Analysts attributed the steep decline to a combination of external and domestic factors, including investor anxiety over the Middle East conflict, currency pressures, and uncertainty surrounding economic policy direction. The surge in oil prices has particularly weighed on market sentiment, given Pakistan’s reliance on energy imports.

Trading activity remained high as investors rushed to offload positions, while institutional support appeared limited during the early hours of trading. Experts noted that the continuation of selling momentum indicates a cautious outlook among investors in the short term.

Despite the sharp fall, some analysts believe the correction could present buying opportunities if macroeconomic stability improves and external risks ease. However, they warned that continued volatility is likely in the near term.

Observers say the market’s performance underscores its sensitivity to both global developments and domestic economic signals, with investor confidence remaining fragile.