KSE cuts lower lock limit, raises upper lock limit

In the meeting the Securities and Exchange Commission of Pakistan and Karachi Stock Exchange management have also decided to jointly launch a market stabilization fund soon in line with the international market stabilization fund to boost up the sentiments of the investors.

"If the KSE had taken such steps earlier, the massive erosion in the index and capitalization witnessed in the stock market for the last 2 months, could have been averted," brokers said.

The recent turmoil in the market has seen the index plunge by nearly 4,000 points in the last 2 months,

As a result of which small brokers and investors have wiped out of the stock market.

"Such steps of KSE are not a long term solution, but it will avert further damage at stock market in the short run, brokers said.