Karachi – The Pakistan Stock Exchange (PSX) witnessed a historic crash on Monday as escalating global tensions and fears of widening conflict triggered panic selling across the market.
On the first trading day of March, the benchmark index plunged by more than 16,000 points — marking the largest single-day decline in the country’s history. During previous periods of heightened tensions, including the Pak-India standoff, the market had fallen by nearly 10,000 points, but never before had it recorded such a massive one-day drop.
Market analysts had anticipated a possible downturn over the past two days due to growing global uncertainty, but the scale of Monday’s collapse far exceeded expectations. Few had predicted that the index would fall so sharply in a single session.
It is important to note that the market had been at record highs just weeks earlier. In February, the benchmark index had reached an all-time high of 109,000 points, with optimistic projections suggesting it could soon cross the 200,000 mark. However, sentiment began to shift later in the month amid reports of potential U.S. military action against Iran, which triggered sustained selling pressure.
Over the course of February, the market declined by approximately 40,000 points. Monday’s dramatic plunge on March 2 set a new record for the largest single-day fall in Pakistan’s stock market history.
Observers point out that the stock market had been one of the few sectors showing strong performance during the current government’s tenure. The latest crash has now raised serious concerns about investor confidence, economic stability, and the broader financial outlook.
Further developments are awaited as investors and policymakers assess the impact of ongoing global instability on Pakistan’s financial markets.
