PSX nosedives over 1,378 points amid political turmoil, delay in IMF programme

KARACHI - Pakistan Stock Exchange (PSX) on Tuesday dropped to a 30-month low as the political instability, delay in revival of IMF loan programme and depleting foreign exchange reserves triggered investors’ massive exit from the market.

The benchmark KSE-100 Index plunged 1,378.54 points or about 3.47%, to close at 38,342.21 points. This is the lowest level after Jul 27, 2020. 

The benchmark KSE-100 index opened in the green zone, but prevailing economic and political instability plunged the index down to an intra-day low of 1,432.94 points and concluded in the red zone.

“Whispers of delay in the IMF program along with continuous political upheaval, caused investors to lose confidence as they squared up their positions today,” Arif Habib Limited, one of the leading brokerages, said in its report.

The index suspended at 38,342.21 points, down by 1,378.54 (-3.47% DoD) as it closed 39,720.75 points on Monday. Sectors contributing to the performance include ESP's (-240.40pts), Technology and Communication (-222.8pts), Commercial Banks (-199.0pts), Cement (-164.9pts), and Fertilizer (-138.1pts).

More to follow…