Karachi: The KSE-100 Index experienced a substantial drop of 2,406 points, closing at 169,173, with a trading volume of 1,319 million shares. The decline was led by significant losses in stocks such as PIOC, SSGC, and ISL, while stocks like YOUW, IBFL, and BNWM showed the best performance in terms of price change. Key trading activity was concentrated in investment companies, food, and textile sectors.

According to Taurus Securities Limited, the market's downturn coincides with broader national and international developments, including ongoing US-Iran tensions and Pakistan's diplomatic efforts to promote dialogue. The energy sector is also facing challenges, with a power shortfall exceeding 11,000 MW and a call for increased State Bank of Pakistan (SBP) facilitation in the import of oil, POL items, and LNG. Despite these challenges, forex reserves have seen a modest increase of USD 104 million, bolstered by Saudi funds.

The government's economic targets have seen mixed progress, with most International Monetary Fund (IMF) targets met, making the approval of a $1.2 billion tranche likely in May. Meanwhile, domestic energy concerns led to the formation of the National Command and Coordination Committee (NCMC) to oversee energy security. Other sectors, such as auto manufacturing, have raised concerns over the draft auto policy, while the OGDC has reported a significant increase in gas output from the Jand-1 well in Attock.

The port sector reported busy operations, handling 179,335 metric tons of cargo on Thursday, and the Attock Refinery has resumed fuel transport. In the financial sector, the State Bank of Pakistan has conducted a buyback of Rs309.5 billion in 5-Year Floating Rate PIBs, and the Prime Minister has approved a dividend for the National Bank of Pakistan.