PSX Stumble As Lockdown Anxiety Drags Stocks Sharply Lower

The Pakistan Stock Exchange (PSX) plunged again due to fears of a complete lockdown due to the coronavirus in Pakistan and the KSE 100 Index fell 555 points (1.38%) to 39,633 points.

The index fell as much as 872 points at one point in the market due to fears of another lockdown due to an increase in the corona positive rate.

On the first day of the business week, commercial banks, cement and oil and gas marketing companies suffered the most losses, while shares of Hascol, Unity Foods and TRG Pakistan were the biggest losers.

Muhammad Sohail of Topline Securities said, “Concerns of a complete lockdown are affecting the market, as the lockdown will affect the country’s economy and corporate profits.”

Omar Pervez, Director of Business Development, AKD Securities, said:

However, he said that “media reports of relief from the G20 countries in repaying loans to Pakistan and successful negotiations between the government and the IMF also had an impact on the market.”

He said that the market was helped to keep the interest rate at 7% by the lower level, especially the SBP.

It should be noted that after the lifting of sanctions imposed on the country due to the Corona lockdown, economic activity increased in the last quarter and exports also improved.

However, the National Command and Operations Center (NCOC) said on Monday that the number of corona patients in the country’s hospitals had doubled in the past two weeks.

The government has also announced the closure of all educational institutions from November 26 due to the second wave of the pandemic.