The direct sound might come from the front, so your brain calculates instruments being localized as coming in from the front as well. ´No sound from behind or above´ is not true, though, as particularly concert halls, opera houses and churches have a pretty significant RT60, so actually a lot of sound is coming in from non-frontal angles. Particularly when you are sitting somewhere further from the musicians. It is just your brain being capable of recognizing the significant amounts of indirect sound patterns as reflections, so they are not directly affecting localization.
I have recently been attending an opera performance in a ´modern´ (constructed in 1874), some people say the most advanced worldwide, iteration of such a theatre, which offers both excellent singing intelligibility and orchestral ambience, at the same time:
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Encourage everyone to witness one or two evenings there. It is a life-changing experience in terms of how you perceive music and sound in a closed venue. Avoid the rows 20+, though!