Mohsin Siddiqui (Chief Reporter)

Sudden political uncertainty cast a shadow over the Pakistan Stock Exchange (PSX) as the benchmark KSE-100 index witnessed a sharp decline of nearly 900 points during the latter half of Friday’s trading session.

The initial half of the trading day observed a range-bound session, but investor sentiment took a hit following news of the Senate approving a resolution advocating a delay in the upcoming general elections.

Post the mid-session break, the index experienced a drastic turn, transitioning from a positive gain of 290 points to a negative plunge of nearly 900 points between 2:40 pm and 2:50 pm.

By 3:03 pm, the benchmark index hovered at 64,048.76, reflecting a decrease of 590.39 points or 0.91%. This significant market movement occurred just a little over a month before the scheduled general elections on February 8.

The development raised concerns about growing political instability in Pakistan, with the Upper House of Parliament approving the resolution for the election delay. Senator Dilawar Khan, who tabled the resolution, cited cold weather and security issues as the primary reasons behind the proposed postponement.

Investors are closely monitoring the evolving political landscape as the South Asian country grapples with a myriad of challenges, including the recent turmoil impacting the stock market.