Middle East tensions and energy concerns drive stock market declines in Bangladesh and Pakistan

Stock markets in Bangladesh and Pakistan experienced significant declines driven by geopolitical instability in the Middle East and rising energy concerns.

In Bangladesh, the Dhaka Stock Exchange (DSE) benchmark DSEX index fell 1.8 per cent to close at 5,419. The decline was attributed to a nationwide gas and electricity crisis alongside escalating Middle East tensions. Out of 395 traded securities, 336 declined, with the travel, ceramics, and jute sectors seeing the sharpest corrections.

Similarly, the Pakistan Stock Exchange (PSX) saw its KSE-100 Index plunge by 2,541.20 points, or 1.49 per cent, to settle at 167,970.65. The sell-off was fueled by tensions between Iran and the United States, rising international oil prices, and concerns over global energy supplies. The State Bank of Pakistan noted that the Middle East conflict has pushed global commodity prices higher and contributed to supply chain disruptions. Brent crude futures rose to $108.04 per barrel during this period.