After the declaration of coronavirus (COVID-19) as a global pandemic by the world health organization last week, many equity markets across the world continue to bleed over fears of the economic implications of the COVID-19. Investors have restored to panic selling following the coronavirus that has shattered the world, including Pakistan. Trading of shares at the Pakistan stock exchange halted on Monday for 45 minutes after the market lost 4.6% of its value, this is the third sequential halt in as many sessions. The fourth temporary crash in six-session comes as Pakistan reported its highest number of coronavirus in a single day.
According to CM Sindh MURAD ALI SHAH, Sindh confirmed new cases raising the province tally to 88 and Pakistan to 105. following Italy, the epicenter of coronavirus, confirming 368 death in a single day.
Selling pressure at the Pakistan stock exchange continued to mount at the benchmark as the KSE-100 index lost the 34000 points mark as well. With this, the index dropped over 2200 points in intra-day trading to hover at the fourth month low. Topline securities CEO Muhammad Sohail in a short comment said, “So the Pakistan stock market is also in a bear run. It is down 20% in 2 months.” The drastic maneuvers were aimed at cushioning the economic impact as the breakneck spread of the COVID-19 all but shut down more countries. However, they had only limited success in calming panicky investors.