PSX Falls Amid Rising ME Tensions, Gold Prices Nosedive
KARACHI: Pakistan’s stock market witnessed significant selling pressure on Wednesday after rising geopolitical and war-related tensions in the Middle East (ME). Investors and financial institutions adopted a cautious approach.
The benchmark KSE-100 Index of the Pakistan Stock Exchange (PSX) fell below 175,000-point level during the trading session.The index declined by as many as 1,904 points during intraday trading before closing at 174,776 points, down 1,690 points for the day.
Market experts said heightened uncertainty over the situation in the Middle East had affected investor sentiment, with investors and financial institutions remaining cautious amid concerns over the potential economic and financial impact of escalating regional tensions.
Gold and Silver Prices Fall Sharply
Meanwhile, gold and silver prices also witnessed a sharp decline in both international and Pakistani markets.In the international market, the price of gold dropped by $113 per ounce to $4,315 midday in Pakistan.
The decline in global gold prices was also reflected in the domestic market, where the price of gold per tola fell by Rs11,300 to Rs454,036. Similarly, the price of 10 grams of gold declined by Rs9,688 to Rs389,262.
The Sarafa Association said silver prices also fell in Pakistan, with the price per tola declining by Rs270 to Rs6,859.
The developments came amid heightened volatility in global financial markets, as investors closely monitored the evolving geopolitical situation in the Middle East. While Pakistan’s stock market came under pressure and precious metal prices declined, crude oil prices moved higher amid concerns over the potential impact of regional tensions on global energy supplies.
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