United States Swims in Natural Gas While Global Markets Gasp for Supply

The nationwide strike by the All Pakistan Goods Transport Alliance has entered its fourth consecutive day. The continued suspension of freight services has raised concerns about possible disruptions to the supply of essential goods. Transporters say there has been no major breakthrough in talks with the government. They have therefore decided to continue their protest. Goods Transport Alliance President Malik Shehzad Awan said the government must take serious steps to end the deadlock. He said transporters were still willing to negotiate. However, he stressed that talks alone would not be enough. The transporters want clear progress on their demands before ending the strike. The ongoing protest has created uncertainty for businesses and traders. Goods transport vehicles play a key role in moving food, fuel and other essential items between cities. A prolonged strike could affect the movement of supplies. It could also create difficulties for wholesalers, retailers and consumers. There are concerns that shortages in some markets may push up prices. Food items could become more expensive if supplies remain disrupted for an extended period. The transporters launched the protest over rising petroleum prices. They are also opposing the government’s policy of changing petroleum prices on a daily basis. The alliance has demanded action on the issues affecting the transport sector. Transporters argue that frequent changes in fuel prices make it difficult for them to manage operating costs. They have called for serious engagement from the government. They want their concerns to be addressed through negotiations. Malik Shehzad Awan said the transporters had not closed the door to dialogue. However, he maintained that the government must demonstrate meaningful progress. The strike is affecting freight movement at a time when businesses depend heavily on road transport. Goods vehicles are used to supply markets across the country. If the deadlock continues, the impact could become more visible in local markets. Traders may face delays in receiving supplies, while consumers could face higher prices. The transporters have not announced a deadline for ending the strike. They are waiting for further government action and progress on their demands.

Prime Minister Shehbaz Sharif has formed a high-level committee to find a mutually acceptable solution to the long-delayed Pakistan-Iran gas pipeline project, which has remained stuck for more than a decade. Petroleum Minister Ali Pervaiz Malik informed the Senate that the committee is examining the legal, financial and energy implications of the project. It will assess Pakistan’s potential financial exposure in the ongoing arbitration process while also considering the country’s future energy requirements. The minister was responding to a calling-attention notice raised by Senator Talha Mahmood. He said the government was seeking a negotiated solution rather than allowing the dispute to become more complicated through prolonged litigation. Describing Iran as a “brotherly country”, Malik said the leadership of Pakistan and Iran remained in contact and was working towards an amicable settlement. He noted that Iran had already completed substantial infrastructure on its side of the project. Iranian authorities have brought gas from the South Pars field towards a major city close to the Pakistani border. The dispute over the pipeline has reached international arbitration in Paris. Pakistan is therefore assessing the possible financial consequences of the project delays and the legal proceedings before deciding its next course of action. The government is also reviewing whether the pipeline can be made commercially viable. Pakistan has previously asked Iran to cut its gas price by around 50 per cent and reduce the proposed supply volume because several domestic sectors have shown limited interest in purchasing Iranian gas at existing prices. Officials have said that domestic consumers and fertiliser plants are currently receiving gas at significantly lower prices than the cost at which imported gas could be supplied through the project. Power producers have also indicated that purchasing imported gas at prices above Rs2,000 per million British thermal units would not be commercially feasible. The government has therefore been considering a lower price as a potential benchmark for making the pipeline economically sustainable. Pakistan has also indicated that it could move ahead with the project if the United States provides a waiver allowing energy cooperation with Iran despite Washington’s sanctions regime. The Iran-Pakistan pipeline, commonly known as the Peace Pipeline, was originally designed to transport Iranian natural gas to Pakistan and help address the country’s long-term energy needs. Iran completed a substantial portion of the pipeline within its territory. Pakistan, however, did not complete its section by the agreed deadline, leaving the project largely dormant. US sanctions against Iran, difficulties in securing financing and wider geopolitical tensions have complicated Pakistan’s efforts to complete the project. The issue has also resulted in legal disputes between the two countries. Iran initiated international arbitration proceedings in Paris over delays in the implementation of the project. Meanwhile, the petroleum minister told the Senate that the government was separately addressing gas-related problems in Balochistan. He said Prime Minister Shehbaz Sharif had instructed him to engage with provincial stakeholders. Another high-level committee, headed by Deputy Prime Minister and Foreign Minister Ishaq Dar, is examining gas-related issues in the province, including technical and payment-related matters. The latest move indicates that Islamabad is attempting to balance its obligations under the Iran gas project with its financial constraints, international commitments and changing energy requirements.

The Pakistan Stock Exchange (PSX) came under pressure on Friday as investors opted to book profits after the market’s recent gains. The benchmark KSE-100 Index fell sharply during early trading, reflecting cautious investor sentiment amid rising global oil prices and uncertainty over developments surrounding the Strait of Hormuz. The index dropped 771.05 points, or 0.42%, to 181,005.54 by 9:39am. Selling was reported across several major sectors, putting pressure on the overall market. By noon, the KSE-100 had recovered some of its losses and was trading at 181,326.54 points, down 450.05 points, or 0.25%, from Thursday’s close of 181,776.59. During the session, the index moved between an intraday high of 181,647.27 and a low of 180,620.08 points. Trading activity remained moderate, with around 146.05 million shares changing hands. The total value of traded shares stood at approximately Rs10.06 billion. Selling was visible in several heavyweight sectors, including automobile assemblers, cement companies, commercial banks, fertiliser firms, oil and gas exploration companies and oil marketing companies. Market sentiment was also affected by the continued rise in international crude prices. Investors remained cautious over possible disruptions to energy supplies amid tensions surrounding the Strait of Hormuz. Analysts attributed the decline largely to profit-taking following the market’s recent strong performance. Investors appeared reluctant to make fresh aggressive positions while global oil prices and geopolitical risks remained elevated. Despite Friday’s decline, the KSE-100 remained above the 181,000-point level, indicating that the broader market continued to retain much of its recent gains.

The Pakistan Stock Exchange (PSX) remained under pressure on Thursday as the benchmark KSE-100 Index fell by more than 1,000 points during intraday trading, reflecting cautious investor sentiment amid rising geopolitical tensions and uncertainty in global financial markets. By late morning, the KSE-100 Index had dropped to around 174,994 points, losing over 1,049 points, or approximately 0.6%, from the previous session. Selling pressure was witnessed across several major sectors, including automobile assemblers, cement, fertiliser, oil and gas exploration, oil marketing companies, power generation and refineries. Heavyweight stocks also traded in negative territory, contributing to the market’s decline. The latest downturn follows a sharp fall in the previous trading session, when the benchmark index lost nearly 1,581 points. Analysts attributed the continued weakness to escalating tensions in the Middle East, which have fuelled concerns over global economic stability and pushed international oil prices higher. Global market uncertainty also weighed on investor confidence. Asian stock markets showed mixed performance as investors assessed the US Federal Reserve’s decision to keep interest rates unchanged. The central bank’s policy stance left markets uncertain about the future direction of interest rates, while rising US Treasury yields added to concerns. Meanwhile, international oil prices remained volatile. Brent crude slipped below $90 per barrel after surging sharply a day earlier as conflict in the Middle East intensified. Despite the heightened tensions, reports indicated that commercial shipping through the region continued. Regional equity markets also experienced fluctuations, with technology shares remaining under pressure following recent losses linked to concerns over heavy investment in artificial intelligence and slowing returns.