KARACHI — The Pakistan Stock Exchange (PSX) witnessed a bloodbath during intraday trade on Thursday, with the benchmark KSE-100 index sinking by over 4,000 points. The massive sell-off followed a hawkish press conference by U.S. President Donald Trump, which effectively dashed investor hopes for a swift resolution to the month-long conflict with Iran.
پاکستان سٹاک ایکسچینج میں زبردست کریش: انڈیکس میں 3700 سے زائد پوائنٹس کی ریکارڈ کمیhttps://t.co/UktKxt4xnP
— Neo News (@NeoNewsUR) April 2, 2026
Market Snapshot (April 2, 2026)
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KSE-100 Drop: 4,073.85 points (2.62%)
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Current Level: 151,505.26 points (as of 12:15 PM)
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Intraday Low: 150,022.43 points (9:34 AM)
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Intraday High: 152,052.19 points (10:34 AM)
The ‘Trump Effect’: Unfinished Business
The market’s bullish momentum from the previous two days was abruptly halted by a 19-minute prime-time address from the White House. President Trump reiterated that U.S. forces would continue to “hammer” Iranian positions for at least another two to three weeks.
Financial analysts noted that the speech lacked any mention of withdrawal or diplomatic closure.
“The message was not one of panic, but it was unmistakably one of unfinished business,” noted Stephen Innes of SPI Asset Management. “In markets, unfinished business is oxygen for volatility.”
Global Contagion & Energy Spike
The PSX was not alone in its descent. The negative sentiment rippled across global markets:
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Asian Markets: Seoul plunged 4%, while Tokyo, Hong Kong, Shanghai, and Mumbai also faced significant losses.
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European Markets: London, Paris, and Frankfurt opened in the red.
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Oil Surge: Brent crude, which had briefly dipped below $100, surged nearly 7% to $108.15 per barrel, while WTI jumped over 6% to $106.75.
Index falls 19,319 points in March, volumes down 37% as foreign outflows, oil prices and geopolitical risks weigh
Read: https://t.co/ZbeBCrP2VR pic.twitter.com/wpF8I6BNHP
— Profit (@Profitpk) April 1, 2026
Economic Implications for Pakistan
The sharp decline at the PSX and the soaring global oil prices present a double-edged sword for Pakistan’s economy. The spike in Brent crude is expected to exert immediate pressure on local petrol and diesel prices, potentially fueling further inflation just as the country was seeking stability through regional de-escalation efforts.
The 150,000-point psychological barrier for the KSE-100 is now being closely watched as a support level. Traders remain cautious, awaiting further clarity on the proposed Pakistan-China 5-Point Peace Initiative, which seeks to counter the very “unfinished business” President Trump alluded to in his address.
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