Millions of Pakistanis ventured out into the streets of major cities for the first time in three days yesterday, as violence eased after an official mourning period for slain political Benazir Bhutto.

Many shops, banks and petrol stations reopened to allow people to get fresh supplies, while private cars, taxis and some buses took to the streets again after a weekend of paralysis in the nuclear-armed nation.

"Karachi is like a normal city. It's life as usual now," resident Zafar Sheikh said of Pakistan's largest city and economic hub.

"I came out and it was hustling and bustling with people," although traffic was light, dominated by taxis and rickshaw's with bus services patchy, he said.

But as daily life returned to normal, the country was still grap-

pling with the fallout from the killing.

Pakistan's Karachi Stock Exchange was down 4.7 percent at mid-day in one of the sharpest slides in the bourse's history.

An outpouring of rage after Benazir's murder left at least 38 people dead, dozens more wounded, and Pakistan reeling from what the interior ministry said was tens of millions of dollars in damage.

Demonstrators at times fought running battles with riot police and torched hundreds of banks, shops, railway stations, offices, trains and vehicles, prompting businesses to down shutters and people to return home.

In Islamabad, the streets were busy with traffic again on Monday as petrol stations resumed supplies of much needed fuel and many restaurants were again open for business.

"All shops are opened in our area," said Faisal Waraich, who

lives in the south of the capital.

In nearby Rawalpindi, where Benazir was assassinated at a campaign rally on Thursday, there were signs of steady progress.

"Shops in some areas are open and traffic is back on the roads," student Habib ul Haq said. "We hope it will pick up slowly as people here are still in shock.”

Bazaars and shops opened in the eastern city of Lahore and traffic was moving again after petrol stations opened, residents said. Court workers also returned.

In the northwestern city of Peshawar there was no disruption, with commercial plazas open and traffic heavy'as normal.

Huddled in small groups, people were starting to move on from. Benazir's assassination to discuss whether January 8 polls would happen, as government officials said it would be postponed at least fourweeks.