Pakistan(National Times)- The bourse saw a sharp decline on Wednesday as geopolitical tensions escalated following a late-night warning from the federal government that India may launch a military strike within the next 24 to 36 hours.The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 Index tumbled to an intraday low of 110,631.84 points, marking a steep fall of 4,240.34 points, or -3.69%, from the previous close of 114,872.18. Even at the session’s high of 114,066.12, the index was still down by 806.06 points or 0.70%, signalling sustained selling pressure throughout the day. “The market is reacting to the statement by the ministers that the next 24 to 36 hours could see nefarious actions from India,” said Ahfaz Mustafa, CEO of Ismail Iqbal Securities. “This is causing people to flee to safety and exit the equities for the time being.” Topline Securities CEO Mohammad Sohail echoed the concern, adding: “Investors are cautious due to this uncertainty.” Investor sentiment was rocked after Information Minister Attaullah Tarar, in a televised statement, said Pakistan had credible intelligence that India was planning “nefarious actions” and would use the recent Pahalgam attack in Indian Illegally Occupied Jammu and Kashmir (IIOJK) as a false pretext. “Any act of aggression will be met with a decisive response,” he warned. Meanwhile, on the economic front, the State Bank of Pakistan revealed that it had purchased $5.677 billion from the interbank market between June 2024 and January 2025 to bolster reserves. In January alone, the SBP bought $154 million, down from $536 million a month earlier, aided by a favourable current account position. In corporate news, Pakistan Petroleum Limited (PPL) reported a 25% year-on-year drop in net profit for the nine months ending March 2025, posting earnings of Rs72.7 billion. Quarterly profit declined 21% YoY to Rs21.8 billion, while net sales fell 15% YoY. A dividend of Rs1 per share was announced for the third quarter, bringing cumulative payouts to Rs5 per share for 9MFY25. On Tuesday, the PSX had closed in the green. The KSE-100 Index increased by 808.28 points, or 0.71%, to finish at 114,872.18, up from the previous close of 114,063.90. The day’s high was 115,040.59 points, while the low touched 112,935.57.