Markets are scaling back near-term US interest rate hike expectations after surprisingly soft US inflation data, weighing on the dollar. Brent crude oil prices, however, have surged 17% in two weeks amid escalating Gulf tensions, sparking global inflation concerns. This oil spike could push inflation in developed nations to 5% annually, potentially forcing central banks to raise rates despite current US data. For Pakistan, while a weaker US dollar offers some PKR relief, high oil prices will likely fuel domestic inflation and increase import costs, affecting local gold demand and the USD/PKR rate.
بحوالہ / Source: www.brecorder.com