Bright Morning - 20 August 2026

Bringing the latest market news closer to you.

Macroeconomy

• The UAE has suspended trade with Iran after reporting that two ballistic missiles were launched from Iran toward its territorial waters. President Donald Trump confirmed Tuesday that talks with Tehran have collapsed, keeping the standoff locked in a volatile deadlock.
• The Marcos Jr. administration is accelerating infrastructure projects in the second half of the year, boosting planned capital expenditures by PHP 209.5 billion from first-half levels to stay on track for its PHP 1.27 trillion 2026 disbursement target.

Fixed Income

• PHP bond yields traded within a narrow range as market participants stayed cautious amid rising oil prices and persistent peso weakness.
• US Treasury yields moved lower, led by the long end where yields fell as much as 9bps after the Treasury Department expanded its buyback program for 10-30-year securities. Short-term yields, however, edged up 1bp due to anticipated increases in Treasury bill issuance.

Equities

• Global equities slipped 0.05%, as elevated oil prices driven by Middle East tensions and continued currency weakness across several markets outweighed support from declining bond yields.
• Philippine equities retreated, with the PSEi down 1.70% to 6,158 amid broad risk-off sentiment after the U.S. said the Iran ceasefire would not be extended. Oil prices climbed while net foreign selling persisted for a fifth day, reaching USD14million.

Daily Market Movements