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Another Week, Another Pulse!

The long weekend wraps up after Labour Day celebrations across the world honoring the workers who keep daily life moving. Global markets, however, remained focused on rising tensions in the Middle East. Iran’s Islamic Revolutionary Guard Corps warned the US to end its blockade of ports within 30 days, while President Trump said he would review Iran’s proposal sent via Pakistan but remained doubtful about reaching a deal. The ongoing conflict continues to shake global energy markets, with OPEC+ expected to announce only a modest oil output increase as supply disruptions persist across the Gulf. Adding further pressure, the UAE announced its exit from OPEC and OPEC+, dealing a major blow to the oil alliance at a time of historic energy uncertainty.

Back home, Pakistan’s economy saw a busy week of major developments. The State Bank of Pakistan surprised markets with a sharp 100 basis point increase in the policy rate, taking it to 11.5%. Treasury bill yields also rose following the decision, making fixed-income investments more attractive for investors. Meanwhile, inflation returned to double digits for the first time in 21 months, with April inflation nearing 11% due to rising transport and food costs. The government also increased petrol and diesel prices but extended fuel subsidies for motorcyclists and public transport users to ease the burden on consumers.

There was some positive news on the external front as Pakistan’s foreign exchange reserves increased by $730 million, mainly supported by Eurobond proceeds. The IMF also allowed Pakistan to revise the captive gas levy formula, reducing gas costs for industrial users by up to 60%, which could provide relief to manufacturers and exporters. Finance Minister Muhammad Aurangzeb also announced plans for a $250 million Panda bond issuance in May as Pakistan looks to diversify its financing sources.

Pakistan’s digital economy remained in focus throughout the week. The government accelerated efforts to legalize and regulate cryptocurrency and digital assets, with Prime Minister Shehbaz Sharif pushing for the fast-tracking of the virtual assets framework. The Pakistan Virtual Assets Regulatory Authority (PVARA) also formed a consultative group to develop the country’s digital asset regulations, signaling growing momentum toward a more structured crypto ecosystem. Alongside this, the government initiated work on the Pakistan Regulatory Registry (PRR) under the Digital Economy Enhancement Project (DEEP) to improve transparency and create a more investor-friendly regulatory environment.

In the corporate sector, the Privatisation Commission announced that the consortium led by Arif Habib Corporation intends to acquire the remaining 25% stake in PIA, potentially paving the way for full private ownership of the national airline. Pakistan also announced plans to host its first international gemstone exhibition in July 2026, highlighting efforts to unlock the country’s untapped mineral and export potential.

As the new week begins, investors will continue watching oil prices, inflation trends, interest rate expectations, and developments in Pakistan’s evolving digital asset framework closely.

Pakistan’s stock market faced a turbulent week as rising geopolitical tensions between the US and Iran, coupled with a spike in international oil prices, weighed heavily on investor sentiment. The benchmark KSE-100 Index declined by 4.5% on a week-on-week basis, closing at 162,994 points, as investors turned cautious amid fears of prolonged regional instability and its potential impact on Pakistan’s economy.

Service Long March Tyres Gets PSX Approval for Rs. 7.8 Billion IPO

Service Long March Tyres has received approval to raise Rs. 7.8 billion through an IPO on the Pakistan Stock Exchange as it plans to set up a passenger car tyre manufacturing plant in Pakistan. The company will offer shares to investors through a book-building process in May before opening the sale to the public. The development is significant as it highlights renewed activity in Pakistan’s capital markets while also supporting local manufacturing and reducing dependence on imported tyres.

SECP approves ETF reform roadmap

The SECP has approved a phased reform plan to modernise Pakistan’s ETF market after consultations with key stakeholders including PSX, CDC, NCCPL, MUFAP, brokers and AMCs. The new framework will allow asset management companies to directly offer ETFs and help investors open brokerage accounts, reducing dependence on traditional brokers. It also introduces revenue sharing between AMCs and brokers and opens the door for brokers to launch and manage ETFs, aimed at improving access, liquidity and overall market depth.

Soneri Bank to Launch Asset Management Company With Rs. 1 Billion Investment

Soneri Bank has announced plans to set up a new asset management company with an initial investment of Rs. 1 billion, fully funded by the bank as a wholly owned subsidiary. The decision was approved by the board in its latest meeting and is now subject to regulatory clearance from SECP and other authorities. The move is aimed at expanding into Pakistan’s growing investment management sector and diversifying beyond traditional banking, with further updates expected once approvals are in place.

How to own Pakistan’s top 10 companies for just Rs 1,000! 🇵🇰

Most people think you need a massive bank balance to own shares in Pakistan’s biggest companies. You don't!

You can actually own a slice of the country's top 10 giants for the price of a single pizza. 🍕

We took a look at the Al Habib Stock Fund (a top performer in the Equity category) to see what actually happens to your money. If you invest just Rs 1,000, that one note instantly turns into a diversified portfolio:

⛽ The Energy Giants: You’re now a partial owner of OGDC and PPL.

🏦 The Banks: You’ve got skin in the game with MEBL and HBL.

🏗️ The Builders: You’re backed by LUCK.

The Magic Trick? 🎩 You aren't betting on one horse; you're owning the whole stable. If the oil sector takes a breather, your banking or cement holdings carry the weight. That’s how you manage risk like a pro, without actually having to be one.

Building wealth doesn’t start with a fortune. It starts with one note and the right strategy. 🚀

View fund: https://behtari.com/mutual-funds/al-habib-stock-fund

_{Today’s Pulse by Capital Stake is brought to you by Hubab Irfan}