ISLAMABAD: Pakistan’s main stock market closed down on Tuesday after the country’s top court declared Prime Minister Yousuf Raza Gilani ineligible for office.

The Karachi Stock Exchange benchmark 100-share index fell 0.52 per cent, or 71.14 points, to close at 13,682.99 points on volume of 60.75 million shares, compared to 13,754.13 on Monday.

“Investors were cautious ahead of the judgment today. Now that the prime minister has been disqualified, and the Supreme Court said that he ceased to hold office on April 26, a number of financial decisions such as the budget could come under scrutiny,” said Atif Zafar, a research analyst at JS Global financial services company.

“I don’t think it will be a big problem but until it is sorted out, investors will remain cautious,” he said.

The court ruling was announced about 45 minutes before the market closed.

In April, the Supreme Court found Gilani guilty of contempt of court for refusing to reopen corruption cases against the president. Fawad Chaudhry, a senior aide to Gilani, said only parliament could dismiss the prime minister.

Rupee firms

The Pakistani rupee firmed to close at 93.88/94 against the dollar, compared to 93.97/94.04 on Monday.

Overnight rates in the money market remained unchanged at 11.90 per cent.