<p><strong>GLOBAL:</strong> The Trump administration is proposing a USD 300-billion investment fund for Iran, including the lifting of sanctions and the unfreezing of assets, contingent upon certain conditions laid out in the memorandum of understanding.</p>

<p><strong>Market impact:</strong> The Dow Jones Industrial Average surpassed the 52,000 threshold for the first time, supported by a decline in oil prices to a three-month low.</p>

<p><strong>The prospect of peace and the reopening of the Strait of Hormuz fueled a “risk-on” environment. </strong>While this may alleviate supply chain bottlenecks, the return to pre-war energy prices will not happen immediately.</p>

<p><strong>LOCAL:</strong> Fitch Ratings warned that the onset of a very strong El Niño event, projected to persist until early 2027, could threaten domestic agricultural output and food inflation.</p>

<p><strong>Market impact:</strong> Local equities retreated as investors capitalized on recent gains. The peso strengthened to a two-month high of PHP 60.32 against the US dollar, buoyed by positive sentiment on the US-Iran agreement.</p>

<p><strong>Metrobank said inflation will remain elevated above the Bangko Sentral ng Pilipinas’ 2–4% target range for the duration of the year.</strong> The lingering effects of geopolitical instability and adverse weather conditions will impact supply chains.&nbsp;</p>