PSX declines sharply as Gulf attacks push global oil prices higher
Rising Oil Prices Hit PSX as Middle East Tensions Escalate
Pakistan Stock Exchange – (Web Desk) – The Pakistan Stock Exchange saw a drop on Thursday. The KSE-100 Index moved between a high of 152,698.51, down 1,593.74 points (1.03%), and a low of 150,728.17, down 3,564.08 points (2.3%) from Wednesday’s close of 154,292.25.
Experts say rising oil prices are putting pressure on the market. Ahfaz Mustafa, CEO of Ismail Iqbal Securities, said the recent attacks on Qatar’s LNG facilities pushed oil prices up by 5%. This is causing investors to sell shares. He also added that expected fuel price hikes and weak economic conditions are affecting sentiment.
In Qatar, missile attacks hit the Ras Laffan Industrial City, damaging gas-to-liquids plants and other LNG facilities. Fires broke out but were quickly controlled, and no injuries were reported. Iran was blamed for the strikes.
The attacks raised concerns about global gas and oil supply. The South Pars/North Dome field, shared by Iran and Qatar, is the largest gas reserve in the world. About 70% of Iran’s domestic gas comes from this field.
Saudi Arabia also faced threats. The Ras Tanura refinery, one of the biggest in the Middle East, was hit by drone attacks that caused fires and a temporary shutdown. Operations have resumed.
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Oil prices surged over 5%, with Brent reaching $112 a barrel. The International Energy Agency says Gulf oil production has fallen from 30 million barrels per day last year to about 20 million now. Experts warn that the conflict could have serious effects on global oil markets.
On Wednesday, the KSE-100 had jumped 4,276 points (2.85%) after trading between 154,684 and 150,284, showing the market’s volatility amid global tensions.
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