PSX plunges over 2,100 points on Middle East conflict fears

KSE-100 falls to intraday low of 171,490.63 as selling hits banks, oil and gas, cement and other key sectors following attacks on Saudi energy sites Bears dominated the Pakistan Stock Exchange (PSX) on Tuesday, with the benchmark KSE-100 Index plunging more than 2,100 points intraday as escalating tensions in the Middle East fuelled concerns over a prolonged and wider regional conflict. Sentiment deteriorated after Iran threatened retaliation against any fresh US attacks on its assets, while attacks on several energy facilities in Saudi Arabia heightened fears of a broader escalation in the region. According to PSX data, the market opened in negative territory but avoided a steep decline during the early session. Selling intensified after 12 pm, pushing the KSE-100 to an intraday low of 171,490.63 points, down around 2,145 points by 1:30 pm. Selling was broad-based, affecting apparel, automobile assemblers, automobile parts and accessories, cement, chemicals, exchange-traded funds, fertiliser, commercial banks, oil and gas exploration companies and oil marketing companies. Tuesday's decline followed another weak session on Monday, when broad-based selling across major sectors weighed on the market amid investor caution. The benchmark KSE-100 Index had lost 1,692.74 points, or 0.97%, on Monday to close at 173,636.08 points, with selling particularly evident in commercial banks, oil and gas and cement stocks. Global stocks fell and the Japanese yen strengthened on Tuesday as attacks on energy facilities around the Gulf pushed Brent crude towards $100 a barrel, while copper prices climbed to record highs. European equities declined, with the STOXX 600 down 0.4%. S&P 500 futures fell 0.3%, while Nasdaq futures gained 0.1% ahead of Wall Street's reopening following a long weekend. Oil prices hit multi-week highs on Tuesday after Iran-backed Houthis ‌attacked Saudi energy facilities and Tehran threatened the United States with "economic warfare". Brent crude futures were up $2.00, or 2.06%, at $99.00 a barrel by 0800 GMT. U.S. West Texas Intermediate crude was at $94.41 a barrel, up $2.93, or 3.2%. Brent earlier rose to as much ​as $99.22 a barrel, its highest since July 24, while WTI reached $94.60 a barrel, its highest since June ​8.