Philippine share prices are expected to continue trading within a narrow range as investors remain cautious about overseas developments.
Wendy Estacio-Cruz, head of research at Unicapital Securities Inc., said investors are wary due to the potential reinstatement of U.S. tariffs on July 8.
Another key local economic indicator investors will closely monitor is the Philippine unemployment rate, also scheduled for release on June 8.
“We expect the index to trade within the 6,400 to 6,500 range next week,” Estacio-Cruz said.
Philstocks Financial Inc. research head Japhet Tantiangco said prospects of further easing by the Bangko Sentral ng Pilipinas (BSP) this year, following a tepid June inflation report, may also provide support to the bourse this week.”
Moving forward, the market may further test the 6,400 level,” Tantiangco said. “If it is unable to get back above the line, the market may test its next support level.”
Last week, the Philippine Stock Exchange index climbed 0.29 percent to close at 6,395.57, while the broader all-shares index declined 0.38 percent to 3,764.71.
Average daily value traded improved to P8 billion from the previous week’s average of P5.87 billion.Foreign investors were net buyers for the week, with inflows reaching P2.74 billion.