Business

Dollar steady around 2-week high as Middle East war boosts oil

Published

2 months ago

September 2, 2026

Bilal

The dollar held near a two-week high on Wednesday as renewed hostilities in the Middle East drove oil prices higher, reviving inflation concerns and adding upward pressure on bond ‌yields.

The dollar index , which measures the greenback against a basket of currencies including the yen and the euro, rose 0.11% to 99.79, its highest point since August 17. The euro was down 0.13% at $1.1577.

The currency’s appeal as a safe haven has been reinforced by rising Treasury yields and growing expectations of a Federal Reserve rate hike, even as recent economic data came in below forecasts.

The U.S. launched a barrage of airstrikes on Iran on Tuesday, prompting Iranian retaliation, in the most serious escalation in weeks. Oil prices rose on Wednesday, extending the previous session’s surge, with Brent futures up 1.15% at $95.74 a barrel and U.S. West Texas Intermediate (WTI) crude 0.85% firmer at $91.05.

“Continued vigilance is needed over the situation in the Middle ⁠East today,” said Kumiko Ishikawa, a senior FX analyst at Sony Financial Group.

Meanwhile, the New Zealand dollar weakened 0.8% against the greenback to $0.5844, its lowest point since August 13, even after the country’s central bank raised its official cash rate by 25 basis points to 2.75%. Analysts said market participants viewed the decision as less hawkish than expected.

“Relative to where markets were and what they might have expected, it doesn’t meet their expectations,” said Westpac New Zealand strategist Imre Speizer.

July JOLTS job openings and the August ISM manufacturing index, released overnight, were below market expectations, but money markets have reinforced expectations of a Federal Reserve rate hike following Chair Kevin Warsh’s speech in Jackson Hole, Wyoming, last week.

Markets are now pricing in a 68% chance of a September Fed hike, up from around 40% a week earlier, according to CME Group’s FedWatch tool.

“As for the U.S. data, it is worth bearing in mind that, if the figures are weak, their impact could be offset by heightened tensions in the Middle East,” Ishikawa said.

August’s jobs and consumer price inflation data are both due before the Fed’s next meeting on September 15 and 16. This Friday’s ‌employment report is ⁠expected to show that employers added 56,000 jobs last month, according to the median estimate of economists polled by Reuters.

Fed Governor Michael Barr said on Tuesday that if inflation does not cool quickly, it will be time for the central bank to raise interest rates.

The yield on the benchmark U.S. 10-year note rose to 4.81%, its highest since November 2023, while Japan’s benchmark 10-year yield extended its rally to 3.01% on Wednesday morning after reaching a three-decade milestone of 3% on Tuesday.

Higher yields drive investors to buy safe-haven currencies, including the U.S. dollar, while undermining the case for riskier assets like equities.

The British pound lost 0.09% to $1.3503, while ⁠the Australian dollar eased 0.04% to $0.7141.

In cryptocurrencies, bitcoin fell 0.24% to $77,242.62. Ether declined 0.51% to $2,407.74.

YEN UNDER PRESSURE

The Japanese yen weakened 0.08% against the greenback to 160.28 per dollar, its lowest level since July 31, remaining beyond the psychologically important 160-per-dollar threshold despite overwhelming expectations of a Bank of Japan rate hike this month.

U.S. Treasury Secretary Scott Bessent voiced strong support for “decisive” monetary steps to combat yen weakness in a meeting with BOJ ⁠Governor Kazuo Ueda, the Treasury Department said.

Ueda told reporters he hoped to discuss with his board at this month’s meeting whether the economy is moving in line with its forecast, and whether inflation risks were heightening.

The BOJ’s hawkish board member, Hajime Takata, said on Wednesday the bank should conduct interest rate hikes nimbly in response to inflationary pressures.

A rare joint intervention by the U.S. and Japan at ⁠the end of July provided short-lived relief for the fragile yen, pulling it away from the 40-year low of 163.99, but the currency has since surrendered around half of the gains from the joint action.

“There appears little chance of another round of actual co-ordinated intervention until there is some de-escalation in the Strait of Hormuz that takes heat out of the oil price,” said Tony Sycamore, a market analyst at IG, in a note.

Business

India’s Jio IPO opens for public bids in record $3.2 billion sale

Published

6 hours ago

October 21, 2026

Bilal

Jio Platforms’ (JIOP.NS) $3.2 billion IPO launches on Wednesday, testing demand for India’s largest share sale to date and the first from billionaire Mukesh Ambani’s Reliance (RELI.NS) conglomerate in two decades.

The Jio Platforms IPO will be a crucial test of global appetite for fresh share offerings at a time when investors have tightened their examination of AI-related companies which some analysts think might see them shifting away from the technology.

Jio Platforms, the parent of India’s biggest telecom firm with over 500 million subscribers, backed by Meta, Google and institutional investors, is the world’s second-largest telecom operator in a single country behind China Mobile.

The IPO values Jio Platforms at up to $108.3 billion, possibly making it one of India’s biggest corporations by market valuation when trading kicks out on October 28. About a third of the shares on offer are allocated for retail investors.

Jio Platforms this week allocated $853 million worth of shares to global and local investors including Abu Dhabi Investment Authority and BlackRock, after the reserved part for such investors attracted bids of more than $25 billion.

LAUNCH DATES FESTIVE

Retail investors and Reliance’s employees and stockholders will get a chance to join in the offering that closes Friday and has a price range of 1,065 to 1,119 rupees a share.
The IPO is Reliance’s first since 2006 and is larger than previous huge offerings such as Hyundai Motor India (HYUN.NS), opens new tab, and National Stock Exchange (NSEI.BO).

The plans were also delayed in 2025, when Ambani first said he planned to list in five years in 2019. A filing in as early as March was stymied by the Iran war sapping IPO enthusiasm.

Ambani’s son Akash runs Jio Platforms’ telecom company, which started in 2016 with the gamble that Indians would use the internet a lot more if it cost virtually nothing. It quickly seized market share from rivals like Bharti Airtel (BRTI.NS), opens new tab and Vodafone Idea (VODA.NS), opens new tab with cheap data and free voice calls.

Jio Platforms is selling its IPO in the middle of a Hindu festive season, seen as a lucky time for buying, although Indian markets have been dull in recent weeks.

Reliance this month also paid pay cheques approximately 15 days early to its more than 400,000 employees and in recent weeks helped expedite share account opening services to people interested in applying for the IPO, said a person in the business with direct knowledge of the situation.

Reliance did not immediately reply to a request for comment.

For the year ending in March, Jio Platforms posted a profit of $3.2 billion on revenue of $15.5 billion. Its telecoms division alone accounted for over 90% of those figures.

Business

Pakistan borrows Rs1,514bn in first quarter of FY2026-27

Published

6 hours ago

October 21, 2026

Bilal

Documents of the Ministry of Economic Affairs showed that the government borrowed Rs1,514 billion during first quarter of the current fiscal year 2026-27, July-September including Rs1,037 billion in September alone.

The data show that the government borrowed around Rs913 billion more in September 2026 than in September 2025.

The documents showed that the government sold $3 billion worth of bonds in September. Of this, $1.75 billion of bonds have an interest rate of 7.5% and the rest $1.25 billion have an interest rate of 7.9%. The bonds will maturity in 2036.

The Ministry of Economic Affairs said the revenues from the issuing of the $3 billion bond could be utilised for budget support, with the Ministry of Finance as the executing agency. The amount is around Rs818 billion in local currency.

Besides the bonds, the government borrowed Rs17 billion through non-project finance, which comprises budget support and short-term loans.

“The documents also revealed that the government obtained $5.44 billion in foreign loans and grants from July to September. This was up $3.63 billion from the $1.81 billion received in the same time of the last fiscal year.

In the first quarter, the government also obtained a $300 million medium-term financing arrangement from an international commercial bank.

The Economic Affairs Division said the funds mobilised through the Naya Pakistan Certificates had witnessed a massive surge during the first quarter of the current fiscal year. During the period, Naya Pakistan Certificates worth $942.7 million were issued.

Business

PSX gains over 400 points at opening

Published

1 day ago

October 20, 2026

Bilal

— The Pakistan Stock Exchange (PSX) kicked off on a bullish note on Tuesday with the benchmark KSE-100 Index rising more than 400 points in early trade.

The index rose to 166,425 points at the start of the second trading session of the business week, indicating better market performance.

The KSE-100 Index closed down 453 points at 165,966 points in the last trading session.

The benchmark index turned positive during early trading after falling in the previous session. The latest gains were made as the benchmark index went into positive territory during early trading.