<p><strong>GLOBAL: Iran declared that the nation is ready for a more intense conflict, </strong>reporting a strike on a US military installation in Jordan and attacks on vessels near the Strait of Hormuz.</p>

<p><strong>Market impact: US equities closed lower </strong>as crude oil prices surpassed USD 100 per barrel.</p>

<p><strong>US President Donald Trump said that the ongoing conflict with Iran will conclude</strong> immediately after the upcoming US midterm elections.&nbsp;</p>

<p><strong>LOCAL: Philippine banks’ nonperforming loan ratio climbed to a two-month high of 3.35% in July, </strong>as sticky inflation and tight monetary policy have squeezed borrowers.</p>

<p><strong>Market impact: The PSEi extended its gains on sustained foreign inflows, </strong>while the peso rebounded, tracking the yen's appreciation.</p>

<p><strong>Persistent inflation, along with the looming super El Niño, could drive up borrowing</strong> among lower-income households, potentially leading to future defaults.</p>