Investors await cues from PSEi rejig, company earnings
The benchmark Philippine Stock Exchange index (PSEi) will remain range-bound as investors place bets ahead of the upcoming earnings season.
Luis Gerardo Limlingan, managing director at Regina Capital Development, said traders would also be waiting for the PSEi rebalancing results.
Other key developments were the MSCI rebalancing announcement and the latest reading on Philippine inflation on Friday, he said.
The PSEi ended the previous week lower by 0.57 percent to 7,251.97 despite the economy expanding above target in 2021.
National Statistician Dennis Mapa said gross domestic product in the fourth quarter of 2021 expanded 7.7 percent. He added full-year growth hit 5.6 percent, exceeding the government’s 5-5.5 percent target for 2021.
BDO Unibank Inc. chief strategist Jonathan Ravelas said investors used the recent bounce to sell shares amid rising risk aversion over the possibility that the US Federal Reserve will take more aggressive action to combat inflation.
He said the PSEi could continue to trade within the 7,000 to 7,350 range.
