The Philippine Stock Exchange (PSE) opened higher, rising 26.82 points or 0.42 percent on Monday to close at 6388.64.
According to Rizal Commercial Banking Corp. Chief Economist Michael Ricafort and Regina Capital Development Corp. Managing Director Louis Limlingan, investors have seen a positive start to Asia and the futures market following the release of a stronger-than-expected US employment report.
The hunt for last-minute bargains and the high-profile announcement of lower oil prices tomorrow also helped market sentiment, Ricafort and Philstocks Financial Inc. said researcher Claire Alviar.
As for market catalysts, Limlingan noted that US investors will be guided by a plethora of economic data this week, such as the June CPI, the start of second-quarter earnings and June retail sales.
“The local market traded mostly in the red amid the absence of positive catalysts in anticipation of the inflation rate in the US. Investors are watching him as he determines whether the Federal Reserve (Fed) will be more aggressive,” Alviar. explained. “Once the US dollar strengthens due to the Fed’s decision, the value of the peso will be affected, which will have inflationary risk at home.”
On the home front, Limlingan also said investors will also be watching for the release of the Philippine Trade Balance for May and April FDI data on July 12 and 13, respectively.
As for Asian equities, Yuri Kageyama of the Associated Press said they were mostly down on Monday, although Japan’s Nikkei benchmark jumped 1.1 percent to 26,812.30.
Meanwhile, the Australian S&P/ASX 200 shed 1.1% to 6602.20, the South Korean Kospi shed 0.4% to 2340.27, the Hong Kong Hang Seng shed 2.8% to 1.3% to 3313.58.
Net market turnover remains sluggish at 3.15 billion pesos, the weakest since May 2, 2022, when it stood at 2.85 billion pesos.
Industries mixed: Financials led the gains, up 0.87 percent, while mining and oil lost the most at 0.54 percent.
Falling securities outperformed gainers from 101 to 82, while 45 securities remained unchanged.