New catalysts to rule market play
INVESTORS are expected to take new positions ahead of upcoming domestic product (GDP) numbers and details of President Rodrigo Duterte’s economic-related visits to neighboring countries.
Online brokerage 2TradeAsia said the market is now focused 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 the coming months,” 2TradeAsia said over the weekend.
“We expect improved capital expenditure disbursement among support Dutertenomics’ ‘ Build, Build, Build’ drive, especially with the Finance department taking a more proactive role in unveiling the administration’s spending plan,” it added.
Bets are on infrastructure-related play and those likely to take part in the infrastructure-supply stream, the online stockbroker said.
Investors might also consider President Rodrigo Duterte’s appearance at the World Economic Forum (WEF) as chairman of the Association of Southeast Asian Nations (Asean) and his working visit to Hongkong. Duterte’s economic managers highlighted plans for the Philippines, including an ambitious infrastructure program.
The President was also invited to attend the Belt and Road Forum in China and to hold bilateral meetings with Chinese leaders.
Regina Capital Corp. President Marita Limlingan said a positive note will reign over the market this week, particularly because of the GDP results and corporate earnings, with the benchmark PSEi moving within a 300-point range between 7,700 and 8,000.
On Friday Philippine shares recovered from profit- taking as investors sold positions to pay for upcoming initial public offerings. The PSEi dipped 0.01 percent or 0.87 points to 7,815.53 at the closing bell. The wider All Shares declined by 0.19 percent or 8.62 points to close at 4,648.26.