The Pakistan Stock Exchange (PSX) saw a major drop on Thursday after touching an all-time high earlier in the day. The KSE-100 Index fell by 2,318 points, reaching 148,272 by 2:20 PM. This is one of the biggest intraday declines in recent months.
Earlier in the session, the KSE-100 Index had crossed the 151,000 mark for the first time in history. This followed a strong rally over the past week. However, the gains were short-lived as heavy profit-taking reversed the upward trend.
According to analysts, the sharp fall was mainly due to investors selling shares to secure profits. The PSX had seen several record-breaking sessions before this correction. On Wednesday, the index closed at 150,591 points, gaining 820 points in just one session.
Market experts believe this pullback was expected. After several days of gains, many traders chose to exit at high prices. The correction reflects normal market behavior after a strong rally.
Global Market Impact
The decline in PSX also came amid mixed signals from global markets. Japan’s Nikkei Index fell by 0.6% from its peak, while South Korea’s KOSPI rose 0.9%. China’s blue-chip stocks gained 0.5%, and Hong Kong’s Hang Seng remained flat.
In the U.S., the Nasdaq Composite dropped 0.7%, with futures pointing to continued weakness. Investors expect the Federal Reserve may cut interest rates in September, which also affected global sentiment.
The PSX remains one of Asia’s top-performing markets in recent months. Despite Thursday’s fall, market watchers say the long-term trend still looks positive. They advise investors to stay cautious and monitor both local and international developments.
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