The Pakistan Stock Exchange (PSX) saw its benchmark KSE-100 index plummet over 2,500 points across two days due to escalating geopolitical tensions between India and Pakistan. The downturn was triggered by India's response to a terror attack in Pahalgam, Kashmir, which killed 26 civilians. India's retaliatory measures included suspending the Indus Waters Treaty, halting trade at the Wagah-Attari border, and revoking SAARC visa exemptions for Pakistani nationals. These actions, along with cross-border military firing, led to a sharp decline in investor confidence in Pakistan's economy. The PSX website went offline temporarily, adding to the uncertainty and further spooking investors. The International Monetary Fund (IMF) had recently downgraded Pakistan's growth forecast to 2.6%, contributing to the market's volatility. In India, the stock market also faced significant turbulence, with the Sensex and Nifty indices falling over 1% amid fears of further escalation. The Nifty index dropped below the 24,000 mark, reflecting broad-based sector losses. Axis Bank was among the top losers, declining after reporting a marginal drop in quarterly profit.