The Philippine Stock Exchange Index (PSEi) staged a recovery on Monday, reversing recent losses as global oil prices softened and market sentiment improved on the back of renewed hopes for diplomatic talks between the United States and Iran.
The benchmark index closed higher, reflecting a broader shift in risk appetite across Asian markets.
Investors appeared to be pricing in a potential de-escalation of geopolitical tensions, which had previously weighed heavily on energy costs and equity valuations.
The easing of crude prices provided immediate relief to cost-sensitive sectors, helping to stabilize the broader market.
Despite the positive close, trading activity remained subdued.
Many investors stayed on the sidelines, adopting a wait-and-see approach as they assessed the durability of the diplomatic signals.