<p><strong>GLOBAL:</strong> The US has officially lifted its two-month naval blockade of Iran, allowing commercial shipping and oil tankers to resume transit through the Strait of Hormuz.&nbsp;</p>

<p><strong>Market impact:</strong> Oil prices extended declines as the traffic in the Strait of Hormuz has started to pick up. Meanwhile, US stocks rose, fueled by a semiconductor and tech rally.&nbsp;</p>

<p><strong>While the lifting of the blockade provides immediate relief,</strong> analysts expect traffic to reach only 50% of pre-war capacity within 30 days of the US-Iran deal.&nbsp;</p>

<p><strong>LOCAL: </strong>The Bangko Sentral ng Pilipinas (BSP) raised its policy rate by 25 basis points (bps) to 4.75% at its June meeting. The decision was made as inflationary pressures remain strong due to the Middle East conflict.&nbsp;</p>

<p><strong>Market impact: </strong>The Philippine Stock Exchange index rebounded as concerns over global oil supply eased, while the peso depreciated to PHP 50.567 per US dollar, pressured by a more hawkish stance from the US Federal Reserve.&nbsp;</p>

<p><strong>Metrobank expects the BSP to maintain its hawkish bias, </strong>penciling in a rate hike at its next meeting in August.&nbsp;</p>