Stocks nosedive 948 points on Musharraf case uproar.

KARACHI -- The market came under intense selling pressure on Thursday dragging the KSE-100 index deep down in the red by 948.34 points (2.28 per cent) - the steepest fall witnessed during the current year - closed at 40,655.37.

It opened under cautious optimism with the index rising to intraday high by 193 points. However, the bickering between major national institutions over the short-order issued the other day on retired Pervez Musharraf's high treason case came to a head with the release of the detailed judgement at midday which sent investors into panic selling.

Insurance companies, brokers, other organisations and non-banking financial companies all ran for cover. Mutual funds also jettisoned shares worth $2.64 million. On the other hand, foreigners lapped up stocks worth 1.57m and local companies and banks also bought at dips.

The index sank to intraday low by 1,189 points, before bouncing back a little. Besides the major issue that set the market in the pensive mood all through the day, the start of roll-over week in a few days along with situation at border cautioned investors to be prudent and book profits by liquidating positions.

The volume declined 6pc to...