Coronavirus Fear hits the Pakistan Stock Exchange

News update: 7th March 2020 According to the most recent reports which demonstrates that the Pakistan Stock Exchange (PSX) has experienced a scene of carnage on Monday after an increase in new cases of coronaviruses that replenished investors’ anxiety about the disease outbreak in China.

As we know that more than 2600 people died in China due to the coronavirus, deaths have been reported in France, Italy, the United States and now in Iran and Afghanistan. The World Health Organization (WHO) had finally declared the coronavirus epidemic a global emergency, although the National Health Commission of China insists that a significant spread beyond China is not likely. So far, no cases of coronavirus have been detected in Pakistan.

Though, Due to this fear, it becomes a more incessant boring and uninteresting activity with bulls and bears, ensuring a turn advantage in the absence of several other triggers pushed the reference level of the KSE-100 stock index below 40,000 after a massive drop of 819.55 points or 2.04pc.

Furthermore, the index got 39,429.67 accepting a negative trajectory for the last session. The market opened to 40,238.25. The vertex of the day remained at 40,249.22 and 39,425.56, the lowest so far.

More from the desk, the last few weeks the marketplace has been down and the market struggled for its sustainability as misperception and uncertainty surrounded potential investors until Friday when the FATF kept the state of Pakistan on its gray list of countries with inadequate controls to restrict money laundering and Terrorist financing. The fears that Pakistan could enter the FATF Black List were not true as per reports.