PSX crashes as KSE-100 Index loses 1,900 points

Stocks at the Pakistan Stock Exchange (PSX) tumbled on Wednesday with the benchmark KSE-100 index losing 1,900 points at one point amid key political and legal developments.

The shockwaves were sudden and probably unexpected because the market opened on a positive note and the KSE-100 broke the 67,000 mark in the first 30 minutes or so.

However, the downward trend was seen by noon and then shortly after 2:20, stocks plunged to 64,4410, losing 1900 points.

Later the market recovered to 65,109 points with the KSE-100 still 1317 in reds.

Although it was not clear if the market movement was linked to political developments in the country, the plunge coincided with two key events during the day.

In a major political development today, former prime minister Imran Khan and former foreign minister Shah Mahmood Qureshi were indicted in cipher case by a special court.

Meanwhile, a six-member bench headed by Justice Tariq Masood suspended the apex court's earlier verdict of voiding trials of civilians in the military court.

According to market experts, the above two decisions are the major cause behind the market crash, while the extraction of profit margin by investors also cannot be ruled out.