Karachi: The KSE-100 Index experienced a significant decline, shedding 6,600 points to close at 160,591, with 738 million shares traded. The top performers in terms of price change were SRVI, HGFA, and TPLRF1, while the most notable decliners were YOUW, PL, and PIBTL. Trading activity was primarily focused on the technology, oil marketing companies (OMCs), and banking sectors.

According to Taurus Securities Limited, the market's downturn coincides with heightened geopolitical tensions as the United States initiated a naval blockade of Iran's ports, causing widespread concern over global energy and food security. The blockade has prompted warnings from Tehran about the safety of Gulf ports and has led to a surge in oil prices, with a 4 percent increase nearing the USD 100 mark. Additionally, the situation has led to OPEC reducing its second-quarter global oil demand forecast, further impacting market sentiments.

The geopolitical developments have also raised alarms over the potential effects on the global economy, as the International Monetary Fund (IMF) convenes to address the ongoing crisis. Meanwhile, Fitch has maintained Pakistan's credit rating at 'B-' with a stable outlook, amidst reports of Saudi Arabia committing a $3 billion deposit to Pakistan. In response to these challenges, the Pakistani government is focusing on oil consumption trends and engaging in discussions with China and Saudi Arabia to manage financial obligations, including repaying a loan from the UAE.