Pakistani markets show strong corporate earnings growth while facing inflation pressures, as global economic uncertainties impact currency and commodity prices

KSE-100 firms' profits surged 19% year-over-year to Rs491 billion in the third quarter of FY26, driven by strong performance in banking and automotive sectors, with 9-month profits reaching Rs1,410 billion and dividends at Rs139.5 billion.

Weekly inflation rose 0.62% as fuel prices increased significantly, with diesel up 7.53% and petrol up 7.18%, while wheat flour prices climbed 4.74%, pushing the Sensitive Price Index to 354.23 points.

Kerosene prices dropped by Rs4.45 per litre to Rs360.76, while light diesel increased sharply by Rs17.03 per litre to Rs287.54, reflecting volatile energy market conditions.

Pakistan rice exporters launched a trade mission to Oman with an 18-member delegation to explore Gulf Cooperation Council export routes and address logistics challenges to boost international sales.

The government is prioritizing revival of the refinery policy as part of SIFC initiatives, with refineries reporting Rs50 billion in losses and seeking GST waiver decisions amid Middle East tensions affecting energy markets.

An IMF official warned that Middle East conflicts threaten to slow Pakistan's economic growth by raising energy and food import costs, risking remittance declines and tightening financial conditions.

The FBR filed a money laundering case against a pharmaceutical firm and its directors over a Rs7.5 billion payment where organizational funds were allegedly misused to settle personal liabilities.

A National Assembly standing committee objected to mango export delays until June 1, warning that early crop losses and potato crises are forcing farmers to sell below cost, threatening food security and cultivation patterns.

The Islamabad Chamber of Commerce emphasized urgent need for SME-centric reforms, stating that revival of small and medium enterprises is critical for broader economic recovery and job creation.

Spirit Airlines announced immediate shutdown and cancellation of all future flights, marking a significant failure in the U.S. aviation sector as the low-cost carrier ceased operations.