Stocks look to sustain upward bias

7 hours ago 3

Richmond Mercurio - The Philippine Star

March 17, 2025 | 12:00am

The benchmark Philippine Stock Exchange index (PSEi) finished Friday’s session in positive territory at 6,294.11. However, it slipped by 0.07 percent week-on-week.

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MANILA, Philippines — The local stock market will attempt to continue its climb this week, but a stronger rally could be hampered by lingering global economic risks brought by US President Donald Trump’s protectionist trade policies.

The benchmark Philippine Stock Exchange index (PSEi) finished Friday’s session in positive territory at 6,294.11. However, it slipped by 0.07 percent week-on-week.

Reyes Tacandong & Co. senior adviser Jonathan Ravelas said the market is expected to continue trading sideways to within the 5,800 to 6,300 levels this week.

He said disruptions arising from global policy uncertainty is keeping investors sidelined and is also capping the market’s rally at the 6,300 levels.

“Capitalizing on the peso’s strength and momentum of last week’s rally, the PSEi will test 6,360 (the most recent high) this week, but investors will be quick to take profits,” First Metro Investment Corp. head of research Cristina Ulang said.

Philstocks Financial research manager Japhet Tantiangco said the local market is still trying to maintain the upward momentum it started after bottoming on Jan. 31.

To keep the uptrend, however, Tantiangco said the index must surpass its recent high of 6,279.42 touched on March 25.

At its current position, he said the market remains undervalued, leaving rooms of opportunities for long-term investors.

“However, downside risks remain, mainly the global economic risks brought by the US protectionist trade policies,” Tantiangco said.

“On a positive note, the peso has been strengthening recently. A continuation of this is expected to help in sustaining the market’s rise. Investors are also expected to watch out for the remaining fourth quarter/full year 2024 corporate reports. Strong results are also expected to help in driving the market higher,” he said.

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