BEIJING: Global oil prices advanced on Wednesday as uncertainty surrounding a potential peace agreement between the United States and Iran, coupled with attacks on commercial shipping in key Middle Eastern waterways, heightened concerns about disruptions to crude supplies. At 0553 GMT, Brent crude futures had gained 75 cents, or 0.84%, to reach $89.66 per barrel. US West Texas Intermediate (WTI) crude rose 72 cents, or 0.87%, to $83.92 a barrel. Both benchmarks had climbed by more than $1 earlier in the session. The latest gains followed a strong rally on Tuesday, when both Brent and WTI settled more than $1 higher, reaching their highest closing levels since July 31. Oil prices had already surged around 5% on Monday as market participants became increasingly sceptical about the prospects of a US-Iran agreement to end the conflict. Concerns intensified after US President Donald Trump issued a fresh demand that Iran compensate people killed in wars, attacks and protests. Market analysts said the latest developments have left energy markets highly sensitive to changes in the US-Iran narrative. “The Middle East is increasingly becoming a seesaw between ‘deal’ and ‘war’,” said Priyanka Sachdeva, head of market insights at Phillip Nova in Singapore, describing the resulting price swings as a pendulum moving between roughly $70 and $90 a barrel. Shipping Disruptions Add to Market Pressure Concerns over the safety of crude shipments were also reinforced after the United States and Yemen’s Iran-aligned Houthis reported separate attacks involving shipping in the Strait of Hormuz and the Bab el-Mandeb Strait. The Strait of Hormuz is one of the world’s most important energy transit routes, making any prolonged disruption there a major concern for global oil markets. Iranian security official Mohsen Rezaei said the strategic waterway would remain closed unless Washington accepted Tehran’s conditions for ending the conflict. Those demands reportedly include the release of frozen Iranian assets and an end to other regional conflicts. Trump, meanwhile, has continued to send mixed signals about the US response, alternating between warnings of a tougher military approach and suggestions that an agreement could still be reached. The uncertainty has contributed to sharp swings in crude prices as traders attempt to assess whether the conflict will escalate or move towards negotiations. Sachdeva said markets could increasingly become accustomed to the frequent changes in the geopolitical narrative, creating a highly volatile environment for short-term traders and speculators. Hormuz Traffic Falls Sharply Shipping data highlighted the scale of the disruption. The number of vessels passing through the Strait of Hormuz fell to only eight on Tuesday, according to shipping data cited in market reports. That compares with an estimated 125 to 140 vessels a day before the conflict, underscoring the extent to which security concerns have affected maritime traffic through the strategic waterway. A sustained reduction in shipping through Hormuz could have significant implications for global energy markets because the route handles a substantial share of international oil shipments. US Crude Inventories in Focus Despite geopolitical concerns, developments in the United States provided a counterweight to the bullish sentiment. A Reuters poll released on Tuesday had indicated that US crude and fuel inventories were expected to decline during the week ended August 7. However, market sources citing data from the American Petroleum Institute (API) reported a substantial increase in US crude stocks. According to the sources, US crude inventories increased by approximately 9.1 million barrels last week. Gasoline stocks declined by around 1.5 million barrels, while distillate inventories fell by approximately 596,000 barrels. The reported crude build was considerably larger than market expectations. If confirmed by official figures, the increase could ease concerns over tightness in the US oil market and potentially limit further price gains. Haitong Futures said in a market note that the unexpectedly large increase in crude inventories could reduce some of the supply-related pressure currently supporting oil prices. EIA Data Awaited Investors are now awaiting official inventory figures from the US Energy Information Administration (EIA), the statistical arm of the US Department of Energy. The EIA’s weekly petroleum report is scheduled for release at 10:30 a.m. Eastern Time (1430 GMT) on Wednesday. Market participants will closely examine the data for signs of changes in crude production, refinery activity, gasoline demand and commercial inventories. Any significant deviation from the API figures could trigger additional volatility in oil prices. Longer-Term Supply Risks Remain Beyond the immediate market reaction, longer-term concerns over Middle Eastern supply disruptions continue to provide support to crude prices. The EIA has estimated that disruptions to Middle Eastern crude supplies could amount to approximately 600,000 barrels per day and persist through the end of 2027. With geopolitical tensions still unresolved and shipping activity through major regional waterways significantly reduced, traders are expected to remain highly sensitive to developments involving the United States, Iran and regional armed groups.

KARACHI: Gold prices in Pakistan remained unchanged on Tuesday, with the price of one tola of 24-karat gold holding at Rs461,936, according to the latest rates released by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA). The local bullion market remained relatively calm after gold recorded a notable increase in the previous trading session. On Monday, the price of gold had risen by Rs2,000 per tola, bringing it to Rs461,936. The price of 10 grams of 24-karat gold also remained unchanged at Rs396,035 on Tuesday. In the international market, gold prices showed little movement, with the benchmark rate standing at $4,395 per ounce, including a $20 premium. The stability in global bullion prices contributed to the lack of significant movement in domestic gold rates. Market participants continue to closely monitor international developments, particularly movements in the US dollar, expectations surrounding global interest rates and geopolitical developments, all of which can influence demand for the precious metal. Meanwhile, silver prices moved in the opposite direction in the domestic market. The price of silver declined by Rs43 per tola, settling at Rs6,986 per tola.

PESHAWAR: The Khyber Pakhtunkhwa government has approved a package of measures aimed at providing tax relief to businesses and industries operating in the province’s merged tribal districts and Malakand Division, while also expanding welfare and education initiatives. According to Khyber Pakhtunkhwa Information Minister Shafiullah Jan, the provincial cabinet has endorsed exemptions from certain provincial taxes for service providers and industries operating in areas previously covered by the Federally Administered Tribal Areas (FATA), Provincially Administered Tribal Areas (PATA) and Malakand Division. Under the decision, service providers operating in the former FATA, PATA and Malakand areas will be exempted from provincial sales tax on services. Industries established in these regions will also receive relief from withholding sales tax. The government said the tax measures were intended to encourage investment, facilitate businesses and support economic activity in areas that have historically faced developmental and infrastructure challenges. Ehsaas Nawaz funding increased The cabinet also approved a significant increase in the financial allocation for the Ehsaas Nawaz programme. According to the information minister, the programme’s funding has been raised from Rs3 billion to Rs5 billion. The increase is expected to provide additional financial support under the government’s welfare initiatives and expand the programme’s reach among deserving segments of the population. Ashra Rahmat Lil-Aalameen programme approved The provincial cabinet also approved arrangements for observing Ashra Rahmat Lil-Aalameen (PBUH) across Khyber Pakhtunkhwa. The celebrations will formally begin from the first day of Rabi-ul-Awwal, with the cabinet approving a schedule for programmes to be organised across the province. The initiative is expected to include a range of activities aimed at highlighting the teachings, life and message of the Holy Prophet Muhammad (PBUH). Education sector measures Several decisions concerning education were also approved during the cabinet meeting. The provincial government sanctioned funds for schools and colleges in various districts to address educational requirements and improve facilities. The cabinet also approved a system for providing textbooks according to the semester system up to Grade 5. In another major education-related decision, the cabinet approved the provision of 100 percent free textbooks for students from Grade 9 to Grade 12. The measures are aimed at reducing the financial burden on students and their families while improving access to educational resources, particularly for students enrolled in government institutions. Public-private partnership legislation The cabinet further approved the Khyber Pakhtunkhwa Public Private Partnership Authority Bill 2026 for enactment. The proposed legislation is intended to establish a formal framework for public-private partnerships in the province and facilitate greater participation of the private sector in development projects. The government believes stronger public-private cooperation can help mobilise investment, improve service delivery and accelerate infrastructure development across Khyber Pakhtunkhwa.