Earnings, US policies to steer PSEi moves this week
All eyes will be on upcoming earnings reports of Philippine companies this week, as well as further moves in the United States, after the local bourse dipped below the 6,100 level last Friday.
Rastine Mercado, research director at Chinabank Securities, said in an email to the Inquirer that the Philippine Stock Exchange Index’s (PSEi) movement would likely depend on full-year reports from banks and property firms.
Based on the exchange’s market calendar, Ayala Land Inc. and Metropolitan Bank and Trust Co. will be among the major firms to release their 2024 net income reports.
Apart from that, traders will also take a closer look at any change in US policy and geopolitics, as was the case in the past couple of weeks, Mercado said.
He sees the PSEi possibly retesting the 6,000 psychological support level while also considering a rally toward 6,300.
Last Friday, the benchmark stocks index ended at 6,061.33, down by 1.52 percent week-on-week after the Bangko Sentral ng Pilipinas opted to hit the pause button on monetary policy easing, citing “uncertainty over global economic policies and their impact to the domestic economy.”
The market likewise reacted to US President Donald Trump’s move to impose a 25-percent tariff on all steel and aluminum imports.
“Tensions abroad and uncertainties in trade and monetary policies cast a very long shadow over markets — these may persist in the medium-term, and strategies have to take into account weak capital flows and lower appetite for risk,” trading platform 2TradeAsia.com said in an advisory over the weekend.
