Bright Mornings - 11 May 2026

Bringing the latest market news closer to you.

Macroeconomy

• Oil prices rose in Monday morning in Asia after President Donald Trump said Iran's response to US proposals to end the war was "totally unacceptable". Washington's terms had included restoration of free transit through the Strait of Hormuz and the suspension on Iranian nuclear enrichment.
• Growth next quarter is seen to remain weak and likely remained below the government's 5-6% growth target in the second quarter. This is expected as higher oil prices and tighter financial conditions continued to dampen domestic demand.

Fixed Income

• Local bond prices took a breather after last week's gains. Some investors locked in profits, and selling in medium term bonds (5-10 years) made dealers more cautious. On Friday, 10-year yields were unchanged to about 13 bps higher. Trading ranges may stay wide, especially in 5-year bonds, ahead of this week's 5-year bond auction.
• US Treasury yields ended the week slightly lower atter mixed economic data reintorced expectations that the Fed will keep rates steady. With jobs still resilient, markets are turning attention to next week's US inflation (CPI) report, which will help shape expectations for the Fed's next move amid ongoing geopolitical uncertainty.

Equities

• Global equities rose +0.21% as continued Al-led earnings optimism and resilient U.S. labor data supported risk sentiment despite elevated geopolitical and oil-price concerns.
• The PSEi fell -1.21% on Friday to 5,960 as the market focused on the weak GDP print released on Thursday as well as on renewed doubts over peace in the Middle East.
   

Bright Idea: Locking in yields at current levels (10-year higher than 7% sounds like a good move to add some stability. We recommend clients to consider adding local bond funds to their portfolios at this point.
 

Daily Market Movements