The ongoing COVID-19 surge will remain in focus for the week as investors monitor the impact of movement restrictions on the economy.
Apart from the infection rate, other key factors included the hospitalization rate and risk alert levels in various provinces, said Luis Gerardo Limlingan, managing director at Regina Capital Development.
The Philippine Stock Exchange Index (PSEi) has so far defied worries over record COVID-19 infections after some experts said the current cases were milder than previous outbreaks.
The benchmark measure ended last week up over 3.5 percent to 7,261.34.
Starting Monday, the Department of Transportation will begin implementing an order restricting the movement of unvaccinated people in Metro Manila, the epicenter of the present coronavirus wave.
On Saturday, the Department of Health said new infections hit a record 39,004 while the positivity rate stood at 47.1 percent.
Cabinet Secretary and acting presidential spokesperson Karlo Nograles said Metro Manila would remain under alert level 3 from Jan. 16 to 31.
Meanwhile, First Metro Investment Corp. (FMIC) expects further upside for the PSEi this year to around 7,900-8,100.
“[We] are still optimistic that Philippine growth will further accelerate and get back on its trajectory of 6-7 percent in 2022,” FMIC president Jose Patricio Dumlao said. INQ