Philippines’ investment grade ratings were confirmed and when bargaining, Filipino stocks rose.
The benchmark Philippine Stock Exchange Index (PSEI) rose 0.05% or 3.71 points to rise at 6,281.58, while the wide range of all stock indexes increased 0.06% or 2.44 points to 3,737.58.
“The local market posted earnings behind bargaining hunts. Investors also appreciate the ratings and investment information, Inc. (R&I) affirmed the Philippines’ “A-” credit rating for the Philippines. “Finally, hope Bangladesh’s Sentral Ng Pilipinas (BSP) rate reduction [this] A week helps lift weights. ”
R&I confirmed the Philippines’ investment-grade “A-” rating on Wednesday, with its prospects stable as it anticipates “strong public and private investment, development of domestic businesses such as information technology and business process management industries and domestic businesses such as population growth, as well as population growth.”
In the first half of the year, the Philippines’ economic growth averaged 5.4%, slightly below the government’s target of 5.5% to 6.5% this year.
Meanwhile, BSP Governor Eli M. Remolona, Jr. Earlier it was said that the Monetary Commission had “probably” lowered the tax rate at its August 28 meeting in the context of loose inflation.
If realized, this will be the third time BSP has decreased since April. Since its easing cycle began in August 2024, the Monetary Commission has lowered the benchmark interest rate by 125 basis points, while the policy rate is now 5.25%.
Meanwhile, the week after the PSEI closed from 6,315.93 on August 15, marking its second straight week of decline, with psei falling by 0.54% or 34.35 points.
“There is no positive catalyst, and the local market succumbs to bearish pressure, resulting in a continued decline in trading volume last week. This is the first week since June 9-13, and the market is moving in a certain direction in a certain direction,” Mr Tantiangco said. “The local market is still undervalued fundamentals. By the end of last week, the PSEI had a 10.8x P/E ratio. This is below 17.3x its five-year historical average and 17.6x regional average.”
Most sector indexes closed Friday. Property rose 1.02% or 24.69 points to 2,444.46; industrialists rose 0.89% or 80.98 points to 9,112.92; mining and oil climbed 0.46% or 44.09 points to 9,489.24; and finance rose 0.09% or 1.91 points to 2,116.45.
Meanwhile, holdings fell 0.8% or 42 points to 5,205.46, and services retreated 0.35% or 8 points to 2,276.18.
On Friday, value turnover grew to pesos 6.44 billion, 803.64 million shares traded from pesos 5.76 billion, and 1.07 billion shares were exchanged on Wednesday.
The Decliners beat the Forward, 97 vs. 93, while 50 names remain unchanged. Foreign net sales were 721.91 million pesos on Friday, compared with the net purchases recorded on Wednesday of 161.83 million. – Revin Mikhael D. Ochave
