Pakistan stock exchange crashes as KSE-100 index tumbles over 2,375 points

KARACHI (92 News) – The Pakistan stock market crashed as KSE-100 reduced further by 2,300 points. The KSE-100 has plummeted to 33,684. Moreover, the dollar price has reduced by Rs1.72. After the decrease, the dollar is being sold at Rs157.25.

Reuters adds:

Oil fell as an emergency rate cut by the US Federal Reserve failed to soothe global financial markets panicked by the rapid spread of the coronavirus, while a price war between top producers added to a growing supply glut. Brent crude fell $2.07 to $31.78 a barrel by 0729 GMT, extending last week’s plunge of 25%, which was the largest weekly fall since 2008. The front-month price opened at a high of $35.84 but slipped to a low of $31.63. US crude was at $30.35, down $1.38 after slipping below $30 earlier in the session, losing ground despite US President Donald Trump’s pledge to fill strategic petroleum reserves (SPR) in the world’s largest oil consumer “to the top”. “While helpful on the margin, such (SPR) policy pales in comparison to a coronavirus plagued market that is measured in months or a price war that is expected to last several quarters or longer,” RBC Capital Markets analyst Michael Tran said. With current SPR stockpiles at 634 million barrels, or 80 million barrels less than a nameplate SPR capacity of 714 million barrels, the government buying would clean up only about 20 days of a global overhang that RBC estimates at an imbalance of 4 million bpd, Tran said.