KSE plunges as confusion surrounds Rangers extension in Sindh

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Px11-013 KARACHI: Feb11 – Brokers look at digital screen during bearish trend at Karachi Stock Exchange. ONLINE PHOTO by Sabir Mazhar

 

The KSE-100 Index dropped drastically to a low of roughly 550 points during the day’s trading on Monday, on the back of falling crude oil prices in the international market and political uncertainty resulting from a deadlock between the federal and provincial governments on extension of Rangers’ policing powers, analysts said.

The session started at 33,048.51 but fell to 32,504 by 2:12PM, a drop of over 1.63 per cent. It earlier fell about 459 points but had made a crawling recovery during the day’s trading before dropping another 200 points.

“The political uncertainty that looms with no decision on Rangers yet has caused some panic among investors,” said AKD Securities Head of Research Umer Pervez.

But regional markets have also been suffering, with crude oil prices falling, he said. A US Federal Reserve meeting, scheduled for tomorrow, has also had a downward impact on markets across the world, according to Pervez.

“With the Fed expected to increase rates, global portfolios will be repositioned after a long time,” he added.

1 COMMENT

  1. there is benefits for investor still psx going down words ..i think law makers should protactb the psx by some law protections to avoid unnecessarily falling of psx due just Little little rumors . only assumptions take a billions of RS of ivvestors

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