Manila: The local stock barometer experienced a positive shift on Wednesday, with markets responding favorably to the announcement of a ceasefire between Israel and Iran. Simultaneously, the peso returned to a more stable position, reaching the 56 to a dollar level.

According to Philippines News Agency, the Philippine Stock Exchange index (PSEi) rose by 0.52 percent, closing at 6,325.64. The All Shares index also saw an increase, ending the day at 3,754.43, marking a 0.41 percent rise. The market's optimistic response was largely attributed to the fragile ceasefire between Israel and Iran, despite ongoing accusations of violations from both parties. President Trump confirmed that the truce remains in effect, though he expressed frustration with both sides.

Luis Limlingan, head of sales at Regina Capital Development Corp., noted that Brent crude saw a significant decrease of 6.10 percent, settling at USD67.14 per barrel. This drop in oil prices was driven by traders' growing confidence that the ceasefire could mitigate the risk of supply disruptions in the Middle East.

The Mining and Oil, along with the Property sectors, emerged as the biggest gainers in the market, with increases of 1.49 percent and 1.94 percent, respectively. In contrast, the Financial and Industrial sectors closed in the red. Advancers outpaced decliners, with 97 stocks gaining compared to 83 losers, while 60 counters remained unchanged.

In the foreign exchange market, the peso demonstrated renewed strength, closing at 56.71 to a dollar, improving from Tuesday's 57.16. The trading day saw the peso opening at 56.8 and fluctuating between 56.65 and 56.81. The day's weighted average settled at 56.72. Despite the positive movement, the volume of trade declined to USD1.55 billion from the previous day's USD2 billion.