Philippine stocks are expected to move sideways this week, with a mix of factors both here and abroad influencing the market.
Analysts said investors watch key local reports such as inflation data and updates on the Philippine economy. Analysts said if these reports would show better than expected growth or stable prices, the Philippine Stock Exchange index (PSEi) could see positive movement this week.
The Bangko Sentral ng Pilipinas (BSP) said last week it expected the February 2025 inflation to settle between 2.2 percent and 3 percent.
“Upward price pressures for the month include higher electricity rates and oil prices, and an increase in the prices of key agricultural commodities such as fish and meat,” the BSP said in a statement.
The government targets an inflation rate of between 2 percent and 4 percent for 2025.
Meanwhile, the market’s drop on Friday could also provide opportunities for bargain-hunting. The drop in oil prices could also help ease inflation fears and provide some relief for the PSEi.
The benchmark index declined 1.64 percent to close at 5,997.97 on Friday, while the broader all-shares index dropped 2.9 percent to 1,649.48.
The decline was largely due to portfolio rebalancing and concerns about economic policies of US President Donald Trump.
Foreign investors were net sellers last week, with outflows reaching P4.83 billion.
