PSX slips 721 points as geopolitical tensions weigh on market

The Pakistan Stock Exchange closed lower on Monday, with the KSE-100 index falling 720.83 points, or 0.41%, to finish at 176,975.68. According to The Express Tribune, the decline came as renewed hostilities between the United States and Iran pushed crude prices higher and made investors wary. Within minutes of trading, the index had been down 569.66 points, or 0.32%, at 177,126.84 by 9:34am.

Commercial banks, cement and technology stocks were the main sources of pressure, with United Bank, Habib Bank and Lucky Cement named among the largest negative contributors, according to Ahmed Sheraz of KTrade Securities. Refineries were the standout exception, with Pakistan Refinery, National Refinery and Attock Refinery posting notable gains on hopes that a refinery upgrade policy will be signed and implemented next month.

Trading volume rose to 937.2 million shares from 658.3 million on Friday, and the value of shares traded reached Rs39.1 billion. Of the 503 companies traded in the ready market, 169 closed higher, 302 declined and 32 were unchanged. Cnergyico PK led the volume table with 293.2 million shares, gaining Rs1.05 to close at Rs15.46. Sheraz said September's direction would largely depend on regional tensions, crude prices, inflation expectations and the wider macroeconomic outlook.