<p><strong>GLOBAL:</strong> Iran reiterated that it will maintain strict control over maritime traffic moving through the Strait of Hormuz.&nbsp;</p>

<p><strong>Market impact:</strong> US equities closed higher following a pause in direct military exchanges. Oil prices sustained their upward momentum as Iran asserts regulatory ambitions over the strait. &nbsp;</p>

<p><strong>The upcoming talks in Qatar represent the best chance to de-escalate the conflict. </strong>The immediate priority is the coordination of maritime traffic to prevent accidental skirmishes.&nbsp;</p>

<p><strong>LOCAL: </strong>S&amp;P Global Ratings anticipates that the Bangko Sentral ng Pilipinas (BSP) will deliver one more policy rate hike this year amid sticky inflation</p>

<p><strong>Market impact: </strong>The Philippine Stock Exchange index and peso advanced, buoyed by easing geopolitical tensions between the US and Iran.&nbsp;</p>

<p><strong>Metrobank Research projects that the BSP will implement further monetary policy tightening,</strong> potentially bringing the policy rate to 5.25% by yearend. Inflation will persist above the BSP’s target range.&nbsp;</p>