Uncertainty is believed to be the kryptonite of the markets and what can possibly create more panic than the threat of a full-scale war between two nuclear-armed states?

But investors often act strange, at least in the eyes of us plebs, as the last week showed. Even as India continued to disregard any respect for international borders and repeatedly targeted Pakistani territory and civilians via jets, drones and missiles, the behaviour of the local bourse was hard to figure out.

Soon after the first night of Indian attacks, the KSE-100 crashed intraday by 6,560.82 points before making some recovery to close 3,559.48 points or 3.13 per cent down. The following day was a bloodbath, with the index nosediving 6,482 points as tens of Indian drones flew and crashed across major cities in the country. However, security concerns took a back seat on Friday as the benchmark rallied by 3.5pc as the International Monetary Fund board review meeting drove the sentiments.

While that’s a relief to our economy at any time, the latest........

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