Trading at the Pakistan Stock Exchange (PSX) was suspended shortly after the opening bell on Monday after the benchmark KSE-100 Index dropped more than six percent within minutes of the session, triggering a market halt under exchange regulations.

 

The benchmark index was recorded at 147,715.95 in the morning, showing a decline of 9,780.15 points, or 6.21 percent. 

 

The fall occurred during the opening phase of trading as selling pressure spread across sectors.

 

Under PSX regulations, a decline of six percent in the benchmark index activates a market-wide halt in equity trading. Following the trigger, the exchange suspended all equity-based markets and cancelled all outstanding orders in the trading system.

 

The halt was triggered at 9:22:15am, according to a notification issued to Trading Right Entitlement (TRE) Certificate Holders by the exchange.

 

After trading resumed, losses in the benchmark index deepened. The KSE-100 Index was down 13,050.63 points, or 8.29 percent, from the previous close.

 

Selling pressure was recorded across multiple sectors during the early session. These included automobile assemblers, cement, commercial banks, oil and gas exploration companies, oil marketing companies, power generation firms and refineries.

 

Several index-heavy stocks also traded in negative territory during the session. These included MCB Bank, Meezan Bank, National Bank of Pakistan, Mari Energies, Oil and Gas Development Company, Pakistan Petroleum Limited, Pakistan State Oil, Sui Northern Gas Pipelines Limited, Sui Southern Gas Company and Hub Power Company.

 

The benchmark KSE-30 Index also fell more than five percent from its previous close during the session, which activated the exchange’s automatic market halt mechanism alongside the drop in the KSE-100.

 

The selloff came as investors reacted to a surge in global crude oil prices. The increase in oil prices has raised concerns about fuel costs, production expenses and inflation in the economy.