PSX: selling at bourse, KSE-100 down over 2,300 points on political uncertainty, higher oil prices

Business Recorder reported heavy selling on the Pakistan Stock Exchange on Monday, with the KSE-100 index losing over 2,300 points in the session. At 12:45pm the index stood at 165,843.38, a fall of 2,312.11 points equal to 1.37 per cent. Analysts linked the decline to both domestic and global pressures.

Saad Hanif of Ismail Iqbal Securities said local political noise and higher oil prices were weighing on sentiment and fuelling inflation worries. Sana Tawfik of Arif Habib Limited said the market direction would depend on global oil prices, domestic political developments, and the Monetary Policy Statement on the policy rate.

Selling hit several sectors, including commercial banks, oil and gas exploration, refineries, cement and automobile assemblers. Index heavyweights including HBL, MEBL, NBP, UBL, OGDC, PPL, MARI, HUBC, PRL and NRL traded in negative territory. The benchmark had already fallen 2,609.74 points, or 1.5 per cent, during the previous week, closing at 168,155.48 amid stalled US-Iran talks and a wider trade deficit at home. Overseas, Japan's Nikkei rose 2% early as bets on further Fed tightening eased, while thin Asian trading reflected holidays in several markets.