IRAN SIGNALS NEW TALKS IN ISLAMABAD Iran may send a delegation to Islamabad this week for a second round of talks, according to two Pakistani officials. Speaking anonymously, they expressed cautious optimism that both Iranian and U.S. delegations could attend. Pakistan will not

Iran may send a delegation to Islamabad this week for a second round of talks, according to two Pakistani officials who spoke anonymously, signaling continued diplomatic engagement between the two nations. The prospect of renewed dialogue supports regional risk reassessment, with potential positive implications for frontier market sentiment and cross-border capital flows into Pakistan and Iranian-linked assets. Improved bilateral relations could ease geopolitical risk premiums embedded in Pakistani sovereign debt and equity markets, while also influencing energy trade expectations given Iran’s role in regional supply dynamics. The outcome of the talks may also affect investor positioning in South Asian and Middle Eastern frontier markets, particularly if agreements on trade or energy cooperation emerge. Traders will watch for official confirmation of the delegation’s arrival and any statements on energy partnerships or sanctions-related arrangements.

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