Stocks are expected to move sideways this week, ahead of the release of first-quarter economic data and as listed companies wrap up their income reports.
Analysts said investors were awaiting the release of first-quarter gross domestic product figures scheduled later this week, even as economic managers earlier said growth likely reached 7 percent in January to March.
“After posting 6.8-percent GDP for 1Q16, attention is set on 1Q17’s GDP data, set to be released on May 18. Indications that would support the upper-end of this year’s economic growth outlook (7 percent to 7.5 percent) bode well for equities, as the benefits unfold in the coming months,” 2TradeAsia.com said.
“We expect improved capex [capital expenditure] disbursement among listed firms in 2H to support Dutertenomics’ ‘Build, Build, Build’ drive, especially with the Finance bureau taking a more proactive role in unveiling the administration’s spending plan,” it said.
BDO Unibank chief investment strategist Jonathan Ravelas said there was a strong resistance at the 8,000-point mark which could push the market to continue to trade between 7,700 and 8,000 levels.
The Philippine Stock Exchange index, the 30-company benchmark, breached an intra-week high of 8,018, before ending the week at 7,841.99 on May 12, up 2.5 percent from the previous week’s close. The broader all-share index also climbed 2.1 percent to 4,673.40.
All counters ended in the green, led by property which jumped 4.9 percent, followed by mining and oil which surged 4.5 percent and financials which advanced 2.1 percent.
Foreign investors were net buyers by P1.9 billion last week, when daily turnover averaged P7.2 billion.
Top gainers last week were 2Go Group Inc. which surged 25.5 percent to P16.20, Travellers International Hotel Group Inc. which jumped 8.2 percent to P3.57 and SM Prime Holdings Inc. which rose 8.1 percent to P32.20.
Heavy losers included Cemex Holdings Philippines Inc. which declined 5.3 percent to P6.95, Alliance Global Group Inc. which decreased 3.7 percent to P14.26 and Aboitiz Power Corp. which dropped 3.1 percent to P41.20.