Pakistan Stock Market Temporarily Suspends Trading as KSE-30 Index Falls 7.2%

Pakistan’s stock market briefly halted trading on May 8 after the benchmark KSE-30 index plunged 7.2%, marking a sharp continuation of losses triggered by escalating regional tensions. The steep fall came in the wake of Indian military strikes on terror outfits across Pakistan under the operation codenamed "Sindoor."

The KSE-100 index also witnessed a sharp drop of over 5%, falling nearly 6,000 points to hover around 104,087 by 1 PM local time. This steep decline reflects growing investor unease following the April 22 terror attack in Pahalgam and the subsequent cross-border military action.

Since the Pahalgam incident, the KSE-100 index has dropped 13%, while the KSE-30 has lost 14.3% of its value—highlighting deepening market distress amid rising geopolitical uncertainty.

Despite heightened tensions, Indian stock markets have remained relatively stable. Key indices such as the Sensex and Nifty traded flat, indicating investor confidence in India’s economic resilience.

Investors in Pakistan now await a key announcement from the International Monetary Fund (IMF), expected tomorrow, regarding a possible extension of its funding program—an outcome that could significantly influence investor sentiment going forward.