Islamabad, Apr 13, 2025: The Pakistan Stock Exchange (PSX) experienced intense turbulence over the past week, with the KSE-100 index witnessing an unprecedented intra-day crash of 8,688 points (-7.3%) on Monday.
Concerns over a potential worldwide trade war and a steep decline in oil prices, with crude dropping to $57.04 per barrel, sparked the dramatic fall.
The US rattled investor sentiment by imposing retaliatory tariffs on 60 nations, including China, triggering fears of a broader economic conflict.
However, optimism returned mid-week when US President Trump suspended new tariff measures for 90 days, and positive developments at the Pakistan Minerals Investment Forum uplifted local sentiment.
Monday marked the worst sell-off as the index dropped sharply, reflecting global recession anxieties.
The benchmark closed at 114,909, shedding nearly 3,882 points.
Read More: PSX Gains 2,000+ Points Following Trump Tariff Relief
A recovery followed on Tuesday, with the KSE-100 briefly surging 1,783 points during the session and closing up by 623 points at 115,532.
However, the rebound was short-lived.
On Wednesday, renewed concerns about escalating trade tensions pushed the market down again, losing 1,379 points to close at 114,153.
Thursday brought some relief as markets rallied on the news of the tariff freeze, with the index rising by 2,036 points to end at 116,189.
Read More: PSX Surges 3,000 Points After Trump’s Tariff Pause
Friday, however, ended the week on a sour note.
The index dropped another 1,336 points, closing at 114,853, marking a weekly net loss of 3,988 points (-3.3%). Arif Habib Limited noted this as one of the most volatile weeks in PSX history.
Major pressure came from the banking, fertilizer, and E&P sectors, while cement and pharmaceuticals remained relatively stable.
Foreign investors offloaded $9.9 million worth of shares, particularly in the banking sector, with local mutual funds also selling off $13.6 million.
Trading activity rose, with volumes increasing by 14% and value up by 8% week-on-week.
Despite the volatility, there were positive headlines. Pakistan’s foreign reserves increased by $23 million to reach $10.7 billion.
The oil sector also saw a 23% boost due to new discoveries.
Additionally, PPL began gas extraction from the Pateji X-1 field, and Mughal Energy advanced towards launching its coal power project.
Economic concerns persist, as the Ministry of Commerce projected a $1 billion export loss due to recent US tariffs, while ADB revised Pakistan’s GDP growth outlook for FY25 to 2.5%.
