Cover Story
Issue 01Trump said the United States is close to an agreement with Iran to de-escalate the conflict and that planned strikes set for Thursday were canceled. Reports said the discussions include reopening the Strait of Hormuz to shipping, while Iranian officials said no final decision has been made.
Pakistan is due to present a federal budget of more than Rs17 trillion for fiscal year 2026-27 on Friday, combining revenue increases and spending restraint while seeking to protect lower-income households. Average CPI inflation was reported at 6.7% in July-May, with price stability maintained despite higher energy-price pressure linked to the Gulf conflict.
Fuel stations in Crimea ran out of petrol on Thursday, according to Reuters witnesses, after new Ukrainian drone strikes on supply routes. The developments came as Russian authorities said domestic gasoline supplies remained sufficient, highlighting disruption in the peninsula linked to the latest attacks.
Flutter said it intends to delist from the London Stock Exchange in August 2026 and retain its primary listing on the New York Stock Exchange. The company said the move reflects trading activity in its shares on the LSE and the additional costs associated with maintaining the listing.
The World Bank said global growth is projected at 2.5% in 2026, down from 2.9% in 2025, marking the weakest pace since the COVID-19 period. It said a scenario involving larger energy supply disruptions and significant financial market stress could reduce growth to 1.3%.
Trump said the United States is close to an agreement with Iran to de-escalate the conflict and that planned strikes set for Thursday were canceled. Reports said the discussions include reopening the Strait of Hormuz to shipping, while Iranian officials said no final decision has been made.
Aluminum prices reached a high of $3,654.02 on May 1, 2026, up 1.66% from a month earlier.
Oil prices rose by more than $1 after Iran said the Strait of Hormuz was closed following additional U.S. strikes on Iranian cities. The move raised concerns over Middle East supply flows, while the U.S. Energy Information Administration said lower 2026 demand could limit the impact of disruption on prices.
The United States launched a second round of airstrikes on Iran early Thursday after Trump said additional attacks could follow if Tehran does not accept a deal. Iran responded with strikes toward Bahrain, Kuwait and Jordan, while negotiations remained unresolved and oil prices rose amid Strait of Hormuz tensions.
Britain’s Competition and Markets Authority has opened an investigation into whether Ryanair’s mandatory family seat charge, usually about GBP8 each way, may breach consumer law. The review covers whether the fee effectively charges parents for seating linked to child-safety and disability obligations and how the charge is presented during booking.
Ethiopia approved a draft federal budget of 2.34 trillion birr for the next fiscal year, about 21% higher than the previous year, with spending directed to regular and capital outlays and transfers to regional governments. Authorities expect a budget deficit of 1.4% of GDP, while debt restructuring talks, including with Eurobond holders, continue.
French President Emmanuel Macron is set to chair a Thursday video conference on global economic imbalances involving G7 members, China and the International Monetary Fund. Other countries invited to the G7 summit, including Brazil, South Korea, India, Kenya and Egypt, are also expected to take part.
WTI oil posted an unusually sharp one-day gain of 5.3% on June 1, 2026, rising to $95.96 from $91.16 two days earlier.
The World Bank said Cambodia’s economy remained resilient, with foreign direct investment reaching $5.1 billion, or 10.1% of GDP, in 2025, up 15% from a year earlier. Goods exports excluding gold increased 17.7% year on year in the first quarter of 2026, according to its June update.
US producer prices for final demand jumped unusually sharply in April 2026, rising 1.38% from March.
Brazil’s Senate Constitution and Justice Committee approved a proposal expanding the central bank’s financial and administrative autonomy, including exclusive authority over Pix regulation and limits on transferring the payments system to another entity. Trade groups for banks, fintechs and payment companies publicly supported stronger central bank supervisory authority.
US CPI saw an unusually sharp monthly increase in April 2026, rising 0.64% from March.