April 7, 2025 – Islamabad
The Pakistan Stock Exchange (PSX) witnessed a historic crash yesterday as the benchmark KSE-100 index plunged over 8,000 points, triggering panic among investors and a temporary suspension in trading.
This dramatic drop was largely fueled by growing global trade tensions, particularly after the United States, under President Donald Trump, imposed sweeping tariffs on major trading partners. These actions raised fears of a global recession, sending shockwaves through financial markets across Asia, Europe, and the Middle East.
The impact was immediate and severe. Global investors began pulling out from emerging markets, and Pakistan’s market was among the hardest hit. Oil prices also slumped, further hurting energy-dependent economies.
Market experts warn that if the global trade war continues, more instability could follow. Investors and policymakers are now closely monitoring the situation, hoping for diplomatic solutions to prevent a deeper financial crisis.