Philippine stocks are expected to move sideways up, with upward bias in this shortened trading week on possible bargain-hunting.
Financial markets will be closed Thursday and Friday.
“At its current position, the market is deemed to be at attractive levels. Hence, we may see episodes of bargain hunting,” Philstocks Financial Inc. research head Japhet Tantiangco said.
“Hopes of further easing by the Bangko Sentral ng Pilipinas moving forward may also compel investors to take positions next week. However, worries over the global economy amid the US’ protectionist policies and the possibility of retaliation by other countries may continue to weigh on sentiment,” he said.
The BSP on Thursday lowered its key interest rate by 25 basis points to 5.5 percent, while hinting at further monetary easing amid global economic challenges.
He said investors were also expected to maintain a cautious stance as they take into consideration the uncertainties on the days the market is closed.
Chartwise, the local market’s support is still seen at 6,000 and resistance at 6,400.
The Philippine Stock Exchange Index (PSEi) barely moved last week to close at 6,082.44, while the broader all shares-index declined by 0.60 percent to 3,621.76.