Pakistan stocks slump after trading curbs are removedDecember 15th, 2008 - 10:39 pm ICT by IANS
Islamabad, Dec 15 (DPA) Pakistani stocks fell sharply Monday after the main Karachi bourse removed trading curbs after three and a half months.The Karachi Stock Exchange’s main 100-share index slumped 370 points, or 4.03 percent, to close at 8,817, the lowest since June 2006.
The exchange had placed a floor under the index in late August after it had lost more than 35 percent during the year, dragged down by political uncertainties and rising terrorism in the Islamic republic.
Analysts believe after the removal of trading restrictions, Pakistani stocks may lose to 50 percent of their value in the coming weeks.
The Pakistani rupee also plunged Monday by 1.43 percent. It was trading at 79.95-80.05 against the US dollar as compared to Saturday’s 78.82-85.