Karachi: The Karachi Stock Exchange experienced a significant downturn as the KSE-100 Index fell by 4,865 points, closing at 146,843. A total of 522 million shares were traded during the session, marking a day of vigorous activity in the market.

According to TSL Announcements from Taurus Securities Limited, the top performers in terms of price change were MUREB and MTL, while MEHT, PSX, and GADT saw the largest declines. The trading activity was largely concentrated in the Power, Banks, and Technology sectors, indicating focused investor interest despite the overall market drop.

In other financial news, the external debt was reported to have increased by 6% year-on-year, reaching USD 91.8 billion as of the end of June 2025. The fiscal deficit was contained at 6% of GDP, as discussed in the National Assembly. Moreover, the circular debt is projected to approach the Rs1.9 trillion mark, and the Federal Board of Revenue may miss its tax target set for March.

The report also noted various geopolitical and economic developments, such as the Indian government's alleged plans for a false flag operation and the potential impact of a Gulf war on Pakistani inflation, which is projected to rise to 7.5%. Meanwhile, the lifting of a ban on low-grade diesel for harvest, and a USD 1 billion investment plan unveiled by Jazz and VEON, were among the notable corporate developments.

In international matters, the IMF has warned that a war involving Iran could lead to higher prices and slower global growth, while the Iranian parliament commission has approved a toll plan for the Strait of Hormuz, and Kuwait plans to use Pakistani ships for fuel supply.