PSX closes negative amid Middle East crisis, surging oil prices

KARACHI: The Pakistan Stock Exchange (PSX) closed on a negative note on Friday after a volatile session amid escalation of tensions in the Middle East resulting in rising international oil prices, analysts said. 

The benchmark 100 Index closed after falling 863 points or (-1.57%) closing at 122,144 level.

Stocks fell across the board after Israeli strikes on Iran, and investors eying escalation over conflict, slump in global equities on geo political risks and weakening rupee played a catalyst role in panic selling at PSX, Arif Habib Commodities CEO Ahsan Mehanti said.

The benchmark index closed on a negative note, wrapping up a volatile session as persistent geopolitical tensions and a continued climb in international oil prices dampened investor sentiment. Selling pressure prevailed throughout the day, keeping the market under pressure, Ismail Iqbal Securities stated.

Iran says Israel attack is a “declaration of war” following the overnight Israeli attacks on multiple locations in Iran.

Oil prices jumped over 7% after Israel’s strikes on Iran in which country’s key military leaders and nuclear scientists were killed. 

The KSE 100 Index largely traded in the negative zone during the trading session in line with international and regional, which came down on Israel’s attack on Iran, Topline Securities said. 

Top negative contributions to the index came from ENGROH PA, FFC PA, LUCK PA, BAHL PA, MEBL PA, SYS PA and PPL PA, as they cumulatively contributed -863 points to the index.

Traded value wise DGKC PA ($6.4mn), MLCF PA ($5.92mn), LUCK ($4mn), OGDC PA ($3.72mn), PSOPA ($3.65mn) and MARI PA ($3.15mn) dominated the trading activity.

Traded value and volume for the day stood at 965mn shares (down by 3.5% DoD) and PKR 29.5 billion/$105mn (down by 42% DoD) respectively.