The stock market closed flat Monday in mixed trading after late selling capped early gains and as investors search for a catalyst that could push the benchmark index firmly above 8,000 points.
The Philippine Stock Exchange Index added just 0.7 point to finish at 8,053.92 on a value turnover of P9.1 billion after a strong opening. Losers edged gainers, 108 to 102, with 44 issues unchanged.
Speculative issue Premiere Horizon Alliance Corp., with investments in mining and the property business, surged 29.5 percent to P1.36, while PLDT Inc., the biggest telecommunications firm, advanced 4.3 percent to P1,385.
Puregold Price Club Inc. of retail tycoon Lucio Co climbed 2.4 percent to P46, but Jollibee Foods Corp., the largest fast-food chain, fell 2 percent to P317.
The rest of Asian markets reversed early gains to end mostly down Monday as investors look ahead to a week chock-full of crucial events including the high-level trade talks between China and the United States.
After starting the day on a positive note regional markets went south as investors contemplate what the week has in store, while China released another batch of disappointing data showing profits at the country’s industrial firms fell in December.
Shanghai ended down 0.2 percent while Hong Kong slipped 0.1 percent in the afternoon and Tokyo dropped 0.6 percent. Singapore skidded 0.1 percent, while Seoul was marginally lower and Mumbai dropped 0.9 percent.
However, Taipei put on 0.4 percent and there were also gains in Wellington and Bangkok.
Hopes that a deal can be struck between the world’s top two economies have helped fuel a rally this month in global equities, which had been hammered in December.
While there have been conflicting reports on the likelihood of an agreement to solve the trade war, analysts say it is in the interests of both sides to reach a deal, with China’s economy stuttering and President Donald Trump gearing up for his re-election campaign.
“Although coming to an agreement is still tricky, both sides have little incentive to escalate tensions,” said Tai Hui, chief market strategist for Asia-Pacific at JP Morgan Asset Management.
“Markets will at least expect an extension of the truce in tariff increases beyond early March, while more difficult issues are still being worked on by both sides.”
As well as the Wednesday-Thursday meeting in Washington, dealers also have in their sights the Federal Reserve’s latest policy meeting, where the central bank’s statement will be pored over for an idea about its interest rate plans.
Also coming up is the release of US jobs and economic growth data, Chinese manufacturing activity results, another vote on Prime Minister Theresa May’s Brexit deal and a number of big-name earnings, including from Apple, Samsung, Facebook and Alibaba.
Wall Street provided a positive lead after another batch of upbeat earnings reports, though observers said there was little major reaction to news that Trump had agreed to re-open the government after public services started to buckle in the longest-ever shutdown. With AFP