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Alcantara-led Alsons Power Group has secured a deal to supply electricity to Japanese-affiliated Makoto Metal Technology Inc.’s two manufacturing plants in Cebu.

Moody’s takes minority stake in Phil Ratings to deepen PH debt market The Manila Times

ASEAN Weekly: AI drives nuclear push in Thailand and Vietnam; Philippines steps up geothermal, waste-to-energy Reccessary

Bond yields were quoted higher in a volatile market, dealers said.

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange indices were trading slightly lower on Wednesday morning, CSE data showed, with the benchmark All Share Price Index moving down 0.07 percent. The ASPI was down 15.72 points at 21,246.41, while the more liquid S&P SL20 was flat, up 0.15 points (0.00 percent) at 5,976.82. Positive contributors to […]

Bond yields were quoted steady to lower on selected tenors, dealers said.

Major correction in equity prices and a fall in AI-related capex would result in sharp slowdown in global GDP growth

Sri Lanka rupee at 330.70/331.20 to US dollar spot, bond yields lower economynext.com

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange closed down on Monday trading, CSE data showed, with the benchmark All Share Price Index moving down 0.32 percent. The ASPI was down 68.82 points at 21,313.92, while the more liquid S&P SL20 was down 0.14 percent, or 8.13 points, at 5,994.33. Positive contributors to the ASPI were […]

The GDP for the second quarter of 2026 at constant price (2015) has increased to Rs. 3,029,816 million from Rs. 2,908,570 million which was reported in the second quarter of 2025. The GDP growth rate for the second quarter of year 2026 has been reported as 4.2 percent positive growth. The overall Agricultural activities declined […]

Rupee weaker, bond yields up

The joint offer by Arcasia Investment & Trading (Pvt) Ltd and ATX Partners (Pvt) Ltd closed on September 12

Rumesh Pathirage, Sri Lanka's gold medal contender, endures big setback ahead of Asian Games Moneycontrol.com

Q2 growth is slower than the 2026 Q1 expansion

Real estate, tech stocks drag Sri Lankan shares lower Prop News Time

MullenLowe Group Sri Lanka has transitioned to BBDO Sri Lanka following Omnicom’s global integration, marking the next chapter for an agency built on strong creative thinking, strategic depth and measurable business impact. Its people, partnerships, capabilities and market understanding will carry forward into BBDO, connecting an established Sri Lankan operation with one of the world’s […]

JPMorgan to launch long-awaited 'frontier' local currency debt index Reuters

Sri Lanka’s Growth Held Up, Even As Inflation Reheated Finimize

Australian shares fell on Tuesday as weak commodity prices hurt mining and gold stocks, while rising crude oil prices heightened inflation worries and reinforced expectations of a US Federal Reserve rate hike. The S&P/ASX 200 index fell 0.5% to 8,709.6, as of 0005 GMT. The benchmark ended 0.1% higher on Monday. The Middle East conflict-linked surge in oil prices has resurfaced inflation worries, with investors raising their bets on an interest rate hike at the Fed’s next meeting on Wednesday. Traders are pricing in a 90% chance that the Fed will raise interest rates by 25 basis points at its upcoming policy meeting to fight inflation related to high oil prices, according to CME’s FedWatch. Australia will hold its next rate decision meeting at the end of this month, where some economists expect rates to be hiked by 25 bps to 4.60%. On the bourse, the mining sub-index fell 2.2% to its lowest level since early August, declining for a fourth straight session as iron ore and copper prices hit a three-week low. Top players BHP, Rio Tinto and Fortescue dipped between 1% and 2.5%. Gold miners hit a near four-week low, plunging 2.7% after prices of the precious metal fell to a more than one

MUMBAI: Indian government bonds were set for a sharp selloff on Tuesday as traders returned from a long weekend to a hostile mix of surging oil prices, rising US Treasury yields and the Reserve Bank of India’s planned bond sales to drain excess liquidity. The benchmark 6.94% 2036 bond may trade in a 7.01%-7.05% range, a private-bank trader said. It closed at 7.0233% on Friday, up 6 basis points for the week. Markets were closed on Monday for a local holiday. Brent crude neared $110 per barrel as the Gulf war widened, stoking inflation fears and rattling global debt markets. The US 10-year Treasury yield tested the pivotal 5% mark, Germany’s 10-year yield has climbed above 3.51%, its highest since 2009, while Japan’s 10-year yield has returned to 3%. The global bonds selloff has accelerated ahead of the Federal Reserve’s rate decision on Wednesday, as investors braced for a possible hike after data on Friday showed US consumer prices accelerated in August. For India, the world’s third-largest oil importer and consumer, higher crude prices threaten to stoke inflation, widen the import bill and weaken the rupee, while higher global rates could strengthen the case for domestic rate hik

Brent crude futures fall 73 cents, or 0.67%, to $108.02 a barrel

SINGAPORE: Vessel transits through the Strait of Hormuz remained in the single digits at four on Tuesday, down from seven a day earlier, preliminary shipping data showed on Wednesday, falling well short of the 10-day average of 18. The drop in traffic through the waterway that handled one-fifth of the world’s oil and liquefied natural gas supply before the Iran war comes after attacks in the region intensified. Of the total on Tuesday, two ships were exiting and two were entering, according to the data. No very large crude carriers or liquefied natural gas tankers were involved. Some ships may be sailing through the waterway with their transponders turned off and they are therefore not counted. One very large gas carrier, Salute, carrying around 470,000 barrels of liquefied petroleum gas exited via the Iranian route, while Panamax-sized tanker Nautilus, carrying around 510,000 barrels of naphtha, exited via an unknown dark route. The two ships that entered were both laden, with one being a short-range dirty products tanker and the other a dry bulk carrier. Both entered via the Iranian route. Meanwhile, the number of ships sailing through the Bab el-Mandeb Strait was at 22, little c

Australian shares inched higher on Wednesday, driven by energy stocks on firm oil prices, while market participants watched developments in the Middle East and awaited the US Federal Reserve’s policy decision. The S&P/ASX 200 index rose 0.3% to 8,699 by 0003 GMT after a 0.9% fall on Tuesday. Crude oil futures were down due to an unexpected build in US crude inventories. Prices hit their highest since May 19 on Tuesday as a slew of events in the Middle East deepened concerns that disruptions to a critical oil-export route could persist for weeks. Investors weighed the risk that higher oil prices could lift inflation further and keep pressure on central banks to raise interest rates. The Fed is widely anticipated to deliver a 25-basis-point rate hike when it announces its policy decision later in the day, according to the CME Group’s FedWatch tool, compared with a 59.4% chance a week earlier. Australian 10-year bond yields eased, but held near 2011-highs. Energy stocks advanced as much as 2% and were on track for their best day since mid-August. Santos and Woodside were up 2.2% and 2.6%, respectively. Healthcare stocks were up 0.8%, with CSL hitting its highest in nearly two weeks. B

TOKYO: Japan’s Nikkei share gauge was flat on Wednesday as the broader market advanced, with investors weighing mixed economic signals and awaiting key central bank decisions. The benchmark Nikkei 225 edged 0.03% lower to 63,462.01 in early trading, poised for a fourth straight session of declines. The broader Topix gained 0.79% to 4,069.02 after touching an intraday high of 4,072.31. Investors remained cautious ahead of policy decisions by the Federal Reserve later on Wednesday and the Bank of Japan on Friday, with both expected to raise rates. Wall Street extended its selloff overnight, as rising US Treasury yields, debt concerns and soaring crude prices weighed on sentiment. Meanwhile, trade data released on Wednesday showed Japan’s exports rose 19.3% year-on-year, but a sharp 28% jump in imports left a trade deficit of 1.106 trillion yen ($7.5 billion), underscoring the impact of higher energy costs. “US markets ended lower but losses were limited, and investors are likely to stay on the sidelines ahead of the Fed and the Bank of Japan’s policy meeting, making sharp moves unlikely,” Monex Securities’ Yoshitaka Araya said in a note. Oil and coal product shares led gains among To

TOKYO: Japan posted its largest increase in imports in nearly four years in August as higher oil prices lifted energy costs, while exports rose for a 12th month on resilient semiconductor-related demand, government data showed on Wednesday. Total imports by value grew 28% from a year earlier in August, the largest increase since November 2022, Ministry of Finance data showed, as elevated crude oil prices boosted energy imports despite the yen’s spike after a rare joint yen-buying intervention with the United States. That compared with a median market forecast for a 26.3% increase. The trade figures underscore how higher energy prices are swelling import bills and fuelling inflationary pressures, reinforcing expectations the Bank of Japan will raise interest rates at the end of its two-day policy meeting on Friday. Exports by value rose 19.3% year-on-year in August, compared with economists’ median forecast for an 18.2% increase and following a 23.2% rise in July, supported by strong chip-related shipments and higher non-ferrous metal prices. Crude oil import volumes rose 3.6% from a year before, while the total value jumped 58.7%. “Oil import costs could increase further from Septe

European shares staged a recovery on Wednesday after two sessions of declines as a rally in oil prices paused, lifting risk appetite ahead of the US Federal Reserve’s monetary policy decision. The pan-European STOXX 600 was up 0.4% at 636.81 points by 0705 GMT. Most major bourses rose, with Germany’s DAX up 0.4%. Attention is on the Fed’s decision later in the day, with markets pricing in a 93% chance of a 25-basis-point interest rate hike, according to the CME’s FedWatch tool. Rising inflation stemming from the Iran conflict have prompted markets to reassess their rate expectations. On Wednesday, oil prices took a breather, down 0.6%. Stocks most hit by rising crude rebounded, with banks among the biggest gainers. Barclays and Standard Chartered were up 1.4% and 1.7%, respectively. These stocks had dragged the benchmark STOXX 600 to a three-month low on Tuesday. Among individual stocks, Babcock International retained its annual forecast. Shares of the British defence and engineering group were up 2.5%. Barratt Redrow trimmed its home completions target for fiscal 2027, citing planning delays and fewer sales outlet openings. Still, its shares rose 5.1%.

TOKYO: Japan’s government bond yields moved in opposite directions on Wednesday, as fiscal concerns and higher oil prices fuelled inflation worries ahead of the US Federal Reserve’s policy decision. The yield curve, which tracks borrowing costs across different bond maturities, twist-steepened as yields on five- and 10-year bonds declined while those on superlong maturities rose. The benchmark 10-year JGB yield fell 1 basis point to 3.020%, after hitting a 30-year high in the previous session. The five-year yield dropped 1.5 basis points to 2.295%. Bond yields move inversely to prices. The 20-year JGB yield climbed 2 bps to 3.905%, after touching a three-decade high of 3.925%. The 30-year yield added 4 bps to 4.190% while the yield on the 40-year JGB, Japan’s longest tenor, rose 1 bp to 4.22%. Bloomberg News reported on Tuesday that Tokyo was considering defence spending worth 3.5% of gross domestic product in the medium term. The report “likely had a significant impact” as the market appeared to have taken it as raising the prospect of fiscal expansion and, in turn, higher JGB yields, said Hiroshi Namioka, chief strategist at T&D Asset Management. “The yen has also started to weak

LONDON: Britain’s annual inflation rate climbed in line with analysts’ expectations in August, official data showed Wednesday, as the Middle East war drove up fuel prices. The Consumer Prices Index rose 3.1 percent in the 12 months to August, up from 2.9 percent the previous month, the Office for National Statistics said. Higher inflation adds pressure on Prime Minister Andy Burnham and his finance minister John Healey to ease the cost of living for households ahead of the Labour government’s budget update next month. The Bank of England is forecast to maintain its benchmark interest rate at 3.75 percent on Thursday as the UK economy struggles for growth. To tackle persistently high consumer prices, the US Federal Reserve is expected Wednesday to also lift borrowing costs, following a similar move by the European Central Bank last week. UK economy beats expectations in July with growth With central bank interest rates on the rise – and government bond yields reaching multi-decade highs in recent weeks – Healey has pledged to maintain strict fiscal discipline. But he has not been drawn on whether this means his budget on October 28 will include new tax rises. Analysts expect inflati

SHANGHAI: Mainland China and Hong Kong stocks edged higher on Wednesday, led by tech shares, but gains were capped as investors held back from large bets ahead of the Federal Reserve’s policy decision later in the day. At the midday break, the benchmark Shanghai composite index gained 0.6%, while the blue-chip CSI300 index advanced 0.7%. Gains were lifted by strength in tech shares, where the ChiNext Composite index was 2.4% higher and Shanghai’s tech-focused STAR50 index jumped 4.5%. AI is not a “monopoly of great powers” and the US should work with China to manage risk to create a non-discriminatory development environment, China’s top newspaper, the People’s Daily, said in a commentary on Wednesday. In Hong Kong, the benchmark Hang Seng index inched up 0.1%, while the city’s tech shares rose 0.9%. Fed Chairman Kevin Warsh dislikes giving any guidance about the likely path of US interest rates, but elevated inflation, oil at more than $100 a barrel, and his own emphasis on the need to deliver price stability and to pay attention to signals from financial market pricing appear to leave little doubt about what’s next. The Fed will raise its interest rate on Wednesday and deliver at

JAKARTA: Malaysian palm oil futures rose for a second straight session on Tuesday, following crude oil prices that continued to climb. The benchmark palm oil contract for November delivery on the Bursa Malaysia Derivatives Exchange was up 46 ringgit, or 0.95%, at 4,896 ringgit ($1,200.59) a metric ton by the midday break. “BMD CPO futures were seen trading higher today following gains in energy prices,” said Anilkumar Bagani, research head at the Mumbai-based vegetable oil broker Sunvin Group. He added that additional support came from expectations of tightness next year due to Indonesia’s B50 biodiesel mandate and a potential production reduction due to El Niño. Oil prices rose on Tuesday as concerns over supply disruptions persisted after attacks on Saudi Arabian energy infrastructure left the kingdom’s East-West pipeline offline and cast doubt on efforts to ease shipping risks in the Gulf. Stronger crude oil futures make palm a more attractive option for biodiesel feedstock. Dalian’s most-active soyoil contract dropped 0.91%, while its palm oil contract shed 0.38%. Soyoil prices on the Chicago Board of Trade were slightly up 0.07%. Palm oil tracks rival edible oils, as it compet

Copper rose marginally from a more-than-three-week low on Wednesday, even as investors expect the US Federal Reserve to hike interest rates later in the day. Three-month copper on the London Metal Exchange rose 0.53% to $14,158 a metric ton by 0330 GMT, after touching $13,926 on Tuesday. The most-traded copper contract on the Shanghai Futures Exchange gained 0.64% to 107,610 yuan ($16,037.97) a ton. Markets were pricing in an over 90% chance of a 25-basis-point Fed rate hike, up from near 60% a week earlier, in the face of sticky inflation. Higher interest rates typically pressure economic growth, a headwind for industrial metals. The dollar hovered near a two-week high, while oil prices remained above $100 a barrel, adding to inflation concerns. Jinrui Futures, a Chinese broker, said falling treatment charges, weak smelter margins and low inventories provided support to the red metal. Signs of firmer physical demand in top consumer China also emerged. The Yangshan copper premium, a gauge of Chinese demand for imported copper, rose to $110 a ton on Tuesday, the highest since early August. Exchange inventories, however, continued to build. Copper stocks in LME-registered warehouses

TOKYO: Japanese government bond yields rose on Tuesday as investors weighed the expansion of government spending, while markets eyed Prime Minister Sanae Takaichi’s cabinet reshuffle. The 10-year JGB yield rose as much as 4.5 basis points (bps) to touch 3.025%, its highest since September 1996. The five-year yield rose 4 bps to record high of 2.315%. Yields move inversely to bond prices. “As talks on the planned cuts to food taxes have been progressing, worries about the resources for the tax cuts grew,” said Katsutoshi Inadome, senior strategist at Sumitomo Mitsui Trust Asset Management. Japan’s government is set to finalise on Tuesday an outline for a consumption tax cut and payouts to households with no mention of how to fund the measures, a move that may keep alive market concerns over the nation’s already strained finances. JGBs were also under upward pressure amid a global bond selloff. The 10-year Treasury yield hit the key psychological level of 5% on Monday for the first time since October 2023. While awaiting the outcome of central bank meetings in the US and Japan this week, markets are also looking out for the Takaichi administration’s cabinet reshuffle, strategists sai

WASHINGTON: US President Donald Trump has nominated Republican congressman Wesley Hunt, a US Army veteran, as his new ambassador to Saudi Arabia – a post that had been left vacant amid the war with Iran. Hunt’s nomination was sent Monday to the US Senate, which must vote on his confirmation. “Having served in the region both in combat as an Army officer and for two years as a diplomatic liaison in the Kingdom, I understand the strategic importance of the partnership between the United States and Saudi Arabia and the profound responsibility of this position,” Hunt said in a post on X. The nomination comes at a sensitive time for Saudi Arabia, a key US ally, after fresh attacks by Yemen’s Iran-backed Houthis on Saudi soil opened a new front in the Middle East conflict. The group – fighting the Saudi-backed, internationally recognized government in Yemen – last week seized control of Yemen’s Red Sea coast and the Bab al-Mandab Strait, which has become vital as the wider US-Iran war chokes the Strait of Hormuz. It has also targeted oil installations in Saudi Arabia, the world’s top exporter of crude, sending oil prices above the symbolic threshold of $100 a barrel. Saudi Crown Prince M

SHANGHAI: China’s yuan edged lower against the US dollar on Tuesday, as the greenback hovered near a two-week high and a slate of economic data pointed to persistently weak domestic demand. The spot yuan opened at 6.7100 per dollar and was last trading at 6.7104 at 0237 GMT, 19 pips lower than the previous late-session close. The dollar inched up to trade near a two-week high on Tuesday as surging oil prices lifted Treasury yields and reinforced expectations that the Federal Reserve will raise interest rates this week. “Markets continue to be dominated by sharp increases in developed market yields, concerns around oil price increases with a resumption of the Middle East conflict, coupled with fears around a substantial slowdown in AI spending,” analysts at MUFG said in a note, adding that they have turned more cautious on risk sentiment. China’s industrial output picked up pace in August, though sluggish consumption and a worsening investment slump reinforced concerns about deepening economic imbalances. Meanwhile, China’s subdued August credit figures suggest that liquidity is likely to remain abundant and interest rates low by the end of the year, analysts at China Great Wall Sec

TOKYO: Japanese Prime Minister Sanae Takaichi is likely to keep Minoru Kiuchi as minister in charge of economic revitalisation in a cabinet reshuffle scheduled on Thursday, the Yomiuri newspaper reported on Wednesday. Trade minister Ryosei Akazawa is also likely to be re-appointed, the paper said without citing sources. The prime minister’s office was not immediately available to comment. Markets have been focusing on whether Kiuchi, known as an advocate of expansionary fiscal and monetary policy, will retain his post for clues on whether the recent bond selloff could prod Takaichi to water down her big spending plans. Concerns about the risk of additional debt issuance to fund Takaichi’s expansionary fiscal plans sent the yield on the benchmark 10-year Japanese government bond to a three-decade high of 3.025% on Tuesday. “There were views in the bond market that if Kiuchi were to be replaced by someone else, it would be seen as a factor to buy JGBs. We could see a rollback of such speculation today,“ said Keisuke Tsuruta, a senior bond strategist at Mitsubishi UFJ Morgan Stanley Securities. As minister overseeing the Cabinet Office, Kiuchi has the right to attend the Bank of Japan

SEOUL: Round-up of South Korean financial markets: South Korean shares clawed back early losses on Tuesday, as bargain hunting in chip stocks followed a three-session slide that culminated in a more than 3% drop in the KOSPI a day earlier. The KOSPI was up 9.74 points, or 0.15%, at 6,694.11 as of 0132 GMT, after falling nearly 1% earlier in the session. The benchmark index lost 3.26% in the previous session as chipmakers slumped, extending losses for a third consecutive session. “The market is seen recovering sharp losses in the previous session, when it already priced in downward pressure from high US bond yields and a slump in US chip stocks,” said Han Ji-young, an analyst at Kiwoom Securities. Wall Street ended down on Monday, weighed down by losses in Nvidia and other chipmakers after top executives in US artificial intelligence companies raised safety concerns and called for a slowdown in the development of AI. South Korean chipmaker Samsung Electronics rose 0.70% on Tuesday and peer SK Hynix gained 1.27%. Among other index heavyweights, battery maker LG Energy Solution climbed 2.28%, while Hyundai Motor and sister automaker Kia Corp were up 0.40% and down 0.28%, respectively.

TOKYO: Japan’s Nikkei share average climbed as technology investor SoftBank Group rebounded from a selloff in the previous session, while traders reassessed calls by executives in US artificial intelligence companies for a slowdown in AI development. The Nikkei recouped early losses to rise roughly 1% to 64,082.36 by the midday break. The broader Topix was flat at 4,057.06. Shares of SoftBank surged 9.13%, recouping part of the previous session’s 10.7% loss after a selloff in AI-linked stocks sparked by warnings from industry leaders about the technology’s risks. “Japan was the first market that was hit by the warning from the AI leaders in the previous session,” said Kazuaki Shimada, chief strategist at IwaiCosmo Securities. “The morning after, investors thought it was too early to judge the fate of the pace of AI investments by hyperscalers,” he said. Memory maker Kioxia rose 2.73%. Shares of chip-related Advantest and Tokyo Electron rose 0.8% and 0.33%, respectively. Leopalace21 was untraded amid a glut of buy orders after the apartment operator said Hikari Tsushin, together with investment funds, will launch a 1,000-yen-per-share tender offer for the company. The Topix slipped

The Saudi-led coalition battling Yemen’s Houthis accused the rebels on Wednesday of targeting the holy city of Makkah, sparking outrage across the Muslim world and deepening the conflict roiling the region. Fresh fighting between the Houthis and the Yemeni government has dragged in Riyadh, with the Houthis declaring a maritime blockade on the kingdom and targeting its ships in the Red Sea. Last week’s lightning offensive saw the group seize control of the entirety of Yemen’s Red Sea coast and the Bab al-Mandab Strait, a vital artery for Saudi oil exports as the wider Middle East war chokes off the Strait of Hormuz strategic shipping route. The Houthis swiftly rejected as a “lie” Riyadh’s report that it shot down a drone from the rebels heading towards Makkah, which attracts millions of pilgrims each year. “The claims about targeting Makkah are a worn-out lie that has been used before and no longer fools anyone,” Hazem al-Assad from the Houthis’ politburo wrote on X. The Saudi coalition vowed retaliation, warning that the security of holy sites was a “red line”. “The security of the Two Holy Mosques and the pilgrims is a red line, and the Joint Forces Command of the Coalition will n

BANGKOK: Thailand has proposed talks between Prime Minister Anutin Charnvirakul and US President Donald Trump this week, the Thai commerce minister said on Tuesday, as the two countries seek to conclude negotiations on a bilateral trade deal and discuss tariff rates. Anutin is travelling to New York for the UN General Assembly. Thailand has proposed a meeting with Trump on September 17 or 18, Commerce Minister Suphajee Suthumpun told reporters, and said she expected it to happen. The Thai commerce ministry aims to conclude trade negotiations before the leaders’ talks, leaving tariff rates and any final adjustments for leader-level discussions, she said. Thailand expects to secure tariff-rate trade conditions on par with regional competitors, Suphajee said. In July, the US imposed a tariff of 12.5% on imports from Thailand. The United States is Thailand’s largest export market, accounting for 24% of Thailand’s total exports so far this year.

SHANGHAI: China and Hong Kong stocks held steady on Tuesday, as a mild rebound in AI hardware shares failed to offset losses elsewhere, with mixed August data pointing to persistently weak domestic demand. China’s blue-chip CSI300 Index was flat by the lunch break, while the Shanghai Composite Index lost 0.1%. Hong Kong benchmark Hang Seng was down 0.2%. China’s industrial output picked up pace in August, though sluggish consumption and a worsening investment slump reinforced concerns over deepening economic imbalances. Meanwhile, new home prices fell again in August, underscoring persistent weakness in the housing market. The CSI 300 Financial and Real Estate Index fell nearly 1% each, while consumer staple shares were flat. “Following weaker-than-expected credit demand, August activity data reinforced our view that a recovery in domestic demand remains elusive,” Barclays analysts said in a note, adding that they maintain their below-consensus 2026 GDP growth forecast of 4.5%. The tech-focused STAR50 Index rose as much as 3%, rebounding for the first time in a week from a 4-1/2-month low. The CSI Semiconductor Material and Equipment Thematic Index gained 2.7%. Onshore sentiment ha

LAHORE/ISLAMABAD: The business community on Monday gave a mixed response to the State Bank of Pakistan’s (SBP) decision to keep the policy rate unchanged at 11.5 per cent, with some backing the move while others called for further cuts to revive investment and industrial activity. The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has expressed disappointment over the decision of the SBP’s Monetary Policy Committee (MPC) to maintain the policy rate at 11.5pc, saying trade and industry are in dire need of some breathing space amid the current stagnation-prone economic environment. The apex trade body has termed the decision as highly contractionary and counterproductive — warning that holding the benchmark interest rate at an oppressive level will continue to severely stifle economic activity and undermine industrial revival efforts across the country. “Monetary policy was the only, but potent, tool available to the authorities to provide some relief at the moment, but it remained unutilised,” it added. FPCCI President Atif Ikram Sheikh said the business community had demanded a reduction in the policy rate to single-digit to help bring down the exorbitant cost of

• PTI resolution states daily fluctuations in global oil prices should not be passed on to consumers as Pakistan does not import petrol every day • Sharjeel urges MQM-P to press federal govt for withdrawal of Rs100-plus petroleum levy KARACHI: The Sindh Assembly, otherwise divided along bitter party lines, on Tuesday unanimously demanded through a resolution that the federal government immediately stop the practice of increasing petroleum prices on a daily basis, saying that no new shipment or import of petrol arrives in the country every day to justify it. The resolution, tabled by Pakistan Tehreek-i-Insaf (PTI) lawmaker Muhammad Owais, said that daily fluctuations in international oil prices should not be passed on to consumers on a daily basis, as Pakistan did not import petrol daily. The resolution said that the continuous increase in petrol prices was fuelling inflation and the common man was facing severe hardship. It said, “This House demands that the federal government immediately stop the daily increase in petroleum product prices,” adding that no new shipment or import of petrol arrived in Pakistan on a daily basis to justify passing on daily fluctuations in international

BEIJING: US soybean futures fell on Wednesday, pressured by a decline in crude oil prices, after rising more than 2% in the previous session on a slower-than-expected August soybean crush rate. Wheat and corn also edged lower.

China imposed sweeping travel restrictions on its citizens on Tuesday, including exit bans on those deemed to endanger the country’s “industrial or technological security”. Citizens who violate technology import and export regulations could be banned from leaving China, the State Council said. Those who engage in illegal activities abroad could be “prohibited from leaving the country for a period of six months to three years from the date of their return to China”. China and the United States have been locked in a tech race, with both sides accusing the other in recent months of stealing the capabilities of locally developed artificial intelligence (AI) models. The new rules, first released in July but in effect from Tuesday, were formulated to “safeguard national sovereignty, security, and development interests”, the State Council said. However, analysts warn that the travel rules give China a “wide remit”. Security and criminal activities “can be vaguely defined and easily adjusted”, Chong Ja Ian from the National University of Singapore told AFP. “The outside world will only know how it applies that remit after there are cases of implementation,” he said. Chong pointed to report

Information Minister Attaullah Tarar said on Monday that the government was considering reviving austerity measures introduced during a previous fuel conservation drive amid renewed hostilities in the Middle East. The austerity measures were announced on March 9 to mitigate the impact of the ongoing US-Iran war. These included a 50 per cent cut in fuel allowances for official vehicles, salary cuts for lawmakers, and a partial work-from-home policy in the public sector. Tarar made the remarks while addressing a press briefing alongside Information Technology Minister Shaza Fatima Khawaja and Petroleum Minister Ali Pervaiz Malik on the government’s fuel relief scheme, which was launched on Sunday amid rising oil prices. In response to a question, the information minister said Prime Minister Shehbaz Sharif had directed consultations on the austerity measures, some of which, he noted, “are still in force, such as market timings”. Tarar added that “austerity measures previously taken [..] were being reviewed to assess which of the previous measures need to be revived in the present situation”. He added that a decision will be taken soon. The government ended the measures on June 19, exc

if (!window._rawHtmlListenerAttached) { window._rawHtmlListenerAttached = true; window.addEventListener('message', function(event) { if (event.data && event.data.type === 'raw-html-resize' && event.data.id) { var iframe = document.getElementById(event.data.id); if (iframe) { var height = Math.min(Math.max(event.data.height, 50), 9200); iframe.style.height = height + 'px'; } } }); } The government on Monday increased the price of petrol by Rs4.42 per litre and that of high-speed diesel (HSD) by Rs6.10 per litre. Following the revision, petrol will retail at Rs380.24 per litre while HSD will cost Rs409.42 per litre. The government continues to levy Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel. According to the Petroleum Division’s notification, the new prices will be applicable on Sept 15 (Tuesday). The price of HSD has come down from a peak of Rs520.35 recorded on April 3. Its price had started rising from Rs281 per litre after the US-Iran war broke out on February 28. The petrol price had peaked at Rs458.41 on April 3 after beginning its upward trajectory from Rs266 in the first week of March. On September 13, Prime Minister Shehbaz Sharif announced a

The Bank of England (BoE) will stop selling 20- and 30-year gilts under plans to overhaul its debt sales, the Telegraph reported on Tuesday. The central bank is overhauling debt sales amid bond market turmoil, the newspaper said, adding that an announcement is expected on Thursday alongside its latest interest rate decision. The newspaper said, citing sources, that any final decision rested with the central bank. Reuters could not immediately verify the Telegraph report. The Bank of England did not immediately respond to a request for comment outside of business hours. Prices of 20- and 30-year gilts fell to their lowest since 1998 last week. Last year the bank skewed sales away from long-dated gilts, and Deutsche Bank said it expects the BoE to halt them entirely.

SANAA: Yemen’s Houthis on Wednesday said they shot down a Saudi fighter jet, claiming a locally made munition was used to target the warplane. “The Yemeni Armed Forces, with Allah’s aid and grace, succeeded in shooting down a Saudi F15 fighter jet while it was carrying out hostile operations in support of its military mobilisations in the airspace of Marib province,” Houthi military spokesman Yahya Saree said on social media, while accusing Saudi Arabia of launching 450 strikes. He said the jet had been targeted “using a locally made air-to-air missile”. The spokesman also dismissed Saudi claims that the Houthis had targeted the holy city of Makkah this week. Yemen’s Houthis reach strategic island at mouth of vital shipping lane “Our operations target its oil facilities and military bases, which are far removed from the sacred sites,” he said. The Houthis have been engaged in renewed fighting with Saudi-backed Yemeni government forces since Yemen’s civil war reignited in July. The group have also declared a maritime blockade on Saudi Arabia and have been targeting its ships in the Red Sea. In a lightning offensive last week, the Houthis seized control of the entirety of Yemen’s Red

ISLAMABAD: The Jamaat-i-Islami (JI) on Tuesday rejected the prime minister’s Fuel Relief Scheme, saying it could not substitute for the abolition of the petroleum levy. On Sunday, PM Shehbaz announced a “relief scheme” for users of motorcycles, rickshaws and vehicles of up to 800cc to “alleviate the burden” of rising global oil prices. The JI delegation, led by JI Deputy Emir Liaquat Baloch and comprising Syed Farasat Shah, Nasrullah Randhawa, Inayatullah Khan and Ziauddin Ansari, held the third round of talks with the government in Islamabad. Petroleum Minister Ali Pervaiz Malik, Energy Minister Awais Khan Leghari, Law and Justice Minister Azam Nazeer Tarar and Minister of State for Finance Bilal Azhar Kayani represented the government. Talking to the media after the meeting on Tuesday, Baloch said government task forces set up by the prime minister gave detailed briefings on petroleum prices and independent power producers (IPPs). Energy Minister Leghari briefed the JI team on progress in negotiations with IPPs. Baloch said the JI had categorically rejected the Rs100 petrol relief, insisting that the party’s protest movement would continue until the petroleum levy was completely

SYDNEY: The Australian and New Zealand dollars remained on the back foot on Tuesday as markets priced in an imminent US rate hike and more to come later, sending Aussie bond yields barrelling to fresh 15-year highs. Pressure on global bond markets was intense as Australian 10-year yields spiked 11 basis points (bps) to 5.394%, bringing the increase for the year so far to 60 bps. Yields on New Zealand’s 10-year paper have climbed 24 bps in just two sessions to reach 5.043%, peaks not seen since late 2023. Short-term swap rates have also surged, tightening financial conditions in the economy at a time when the Reserve Bank of New Zealand has been sounding dovish about the pace of further hikes in its cash rate. Data out on Tuesday showed electronic retail card spending fell a sharp 0.9% in August, hit by higher petrol prices and borrowing costs. Figures due on Thursday are expected to show the economy grew a meagre 0.2% in the second quarter. “There is a lack of momentum in household spending, with large increases in living costs and a soft labour market weighing on discretionary spending,” said Satish Ranchhod, a senior economist at Westpac. “Spending growth is likely to pick up aga