Stocks are expected to trade within a narrow range this week, amid the lack of strong market movers here and abroad.
RCBC Securities said investors would likely remain focused on the release of earnings of listed companies, in the absence of major developments that could push the market out of the current sideways path.
Among the companies scheduled to release their fourth-quarter income reports this week are Metro Pacific Investments Corp., SM Investments Corp. and Manila Electric Co.
“Chartwise, the week’s close at 7,258.99 continues to suggest the market will remain range bound between the 7,000 and 7,400 levels in the near term. Only a move above the 7,500 levels will call the bulls back to play,” BDO Unibank chief investment strategist Jonathan Ravelas said.
Investors will also closely monitor the continued depreciation of the peso against the dollar and may backpedal on renewed concerns over another round of US interest rate hike, analysts said.
The PSEi, the 30-company Philippine Stock Exchange index, last week closed higher by 0.2 to 7,258.99 on Feb. 24, while the broader all-share index climbed 0.2 percent to 4,395.08.
Except for the property and services indices which went down 1.2 percent and 0.7 percent, respectively, all other counters ended in the green, led by holding firms which gained 1 percent and industrial which rose 0.5 percent.
Foreign investors were net sellers by P1.04 billion last week, while average daily turnover declined to P6.4 billion from the previous week’s average of P7.1 billion.
Top gainers last week were Lucio Tan-owned PAL Holdings Inc. which advanced 9 percent to P5.69 and LT Group Inc. which went up 7.1 percent to P15.
Puregold Price Club Inc., the retail unit of tycoon Lucio Co, rose 3.8 percent to P46.20, as it is set to join the PSEi on March 13.
Heavy losers included Filinvest Land Inc. which declined 8.8 percent to P1.65, Rizal Commercial Banking Corp. which dropped 6.2 percent to P39.15 and Emperador Inc. which retreated 4.5 percent to P6.80.