The Pakistan Stock Exchange (PSX) benchmark KSE-100 index experienced a significant decline of over 4,626.19 points, or 2.48%, closing at 181,629.36 after Trump's comments on Iran sent shockwaves through global markets.

The drop followed Trump's assertion that the Pakistan-mediated ceasefire with Iran was 'over,' reigniting fears of Middle East instability.

Analysts noted heightened geopolitical uncertainty after US airstrikes on Iran in response to attacks on oil tankers in the Strait of Hormuz, prompting Iran to retaliate by targeting US military facilities in Bahrain and Kuwait.The market hit an intraday low of 179,504.34, reflecting investor anxiety over potential disruptions to energy supplies.

This decline marked a reversal from previous gains, as economic optimism driven by falling energy prices and anticipated interest rate cuts had previously pushed the index above 187,000 points.

Regional market weakness and profit-taking after a recent rally further pressured investors, with experts advising caution amid ongoing US-Iran tensions.