Negative sentiment at PSX, KSE-100 down over 500 points
- Benchmark index was hovering at 177,562.67
Selling pressure was observed at the Pakistan Stock Exchange (PSX) as tensions between the US and Iran escalated further, with the benchmark KSE-100 Index shedding over 500 points during the opening minutes of trading on Friday.
At 9:35am, the benchmark index was hovering at 177,562.67, down by 560.89 points or 0.31%.
Selling was observed in key sectors, including automobile assemblers, cement, commercial banks, fertiliser, oil and gas exploration companies, OMCs and power generation. Index-heavy stocks, including HUBCO, MARI, POL, PPL, MCB, MEBL, NBP and UBL, traded in the red.
On Thursday, the PSX extended its recovery for a second consecutive session as renewed optimism over the possible resumption of dialogue between the United States and Iran improved global risk appetite. The benchmark KSE-100 Index settled at 178,123.57 points, gaining 2,837.78 points or 1.62%.
Internationally, Asian stocks got off to a rocky start on Friday as the drag from chipmakers weighed on global equity indexes, while oil prices were set for their sharpest weekly rise in three months as tensions in the Middle East erupted anew.
Investors this week rotated out of semiconductor plays into other sectors such as banking after robust earnings from major lenders, leaving Asia vulnerable to the selloff given its heavier exposure to chips.
MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.06% in early Asia trade while the Nikkei slid 2.8%.
Nasdaq futures lost 0.7%, and S&P 500 futures declined 0.4%.
EUROSTOXX 50 futures were down 0.5%.
Markets in South Korea were closed for a holiday after the government on Thursday announced it would temporarily ban new listings of exchange-traded funds (ETFs) that are tied to certain major technology firms, while raising minimum required deposits for retail investors to invest in such products, in an effort to curb volatility.
This is an intraday update
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