Karachi: The KSE-100 Index experienced a significant decline yesterday, losing 638 points to close at 177,624. The trading volume was substantial, with 954 million shares changing hands. The top performers in terms of price change were AICL, ATRL, and ILP, while the top decliners included PGLC, HGFA, and FFL. Most trading activity was concentrated in the Refinery, Technology, and Investment sectors.

According to Taurus Securities Limited, the market was influenced by various international and domestic factors, which included geopolitical tensions and economic policy changes. In related news, a surprise missile attack by Iran on U.S. forces and the rejection of an Omani proposal for Hormuz control have raised concerns in the region. Meanwhile, Aramco’s Jizan oil refinery was shut down following an attack, leading to a rebound in oil prices by over $2 a barrel due to the potential tightening of U.S. crude supplies.

Additionally, the government is seeking to strengthen economic ties with the U.S., aiming to double bilateral trade to $20 billion. Domestically, the petrol and high-speed diesel prices have seen minor increases, and a cautious monetary policy is anticipated despite an improving economic outlook. The government is also focusing on modernizing payments infrastructure and increasing strategic petroleum reserves. These developments are part of a broader economic strategy amidst rising power sector circular debt and significant palm oil import spending.