Pakistan’s benchmark KSE-100 index remained under pressure on Thursday, closing in the red at 182,338.12 points, a sharp slip of 6042.26 points, or 3.21 per cent, from its previous close of 188,380.38.

Trading activity hit a volume of 413.82 million shares and a total traded value of Rs52.45 billion.

All commercial banks, fertiliser, automobile assemblers, close-end mutual funds, leather and tanneries, oil and gas exploration companies, synthetic and rayon companies, tobacco, transportation, vanaspati and allied industries, along with woolen industries, were trading in the red.

Maaz Mulla, vice president equity sales at Topline Securities, noted that “the sharp decline was primarily triggered by Fauji Fertilizer Company Limited’s result, which disappointed the market as earnings came in below industry expectations due to lower-than-anticipated gross margins”.

Top decliners included Kohinoor Power Company Limited, which dropped to Rs44.60 followed by Said Textile Mills Limited, which fell to Rs36.61, and Kohinoor Industries Limited, which dropped to Rs63.06.

Mulla also noted that “market rumors had built expectations of a stock split or bonus announcement, which did not materialise”. He overall stated that there was a “mismatch between expectations and outcomes led to panic selling, prompting investors to book recent gains and intensifying the sell-off”.

Amid rising geopolitical tensions, Reuters reported that oil prices rose 1.5pc on Thursday, extending gains for a third day, on increasing concerns the US may carry out a military attack on Iran that could disrupt supply from the region.