Weekly Equities Summary and Outlook : September 2 – September 6, 2019

Marwin Nunez
Weekly-Equities-and-Economic-Outlook
Equities Outlook Outlook. Expect the market to consolidate this week to 7,700-8,000 level but with an upward bias as investors bet on fresh global stimulus amid weak economic data from China, US and EU. More support measures are expected from China after its exports surprisingly drop in August as shipments to the US sharply declined, while weakening jobs trend in... Read More

The Market Call | August 2019

Marwin Nunez
Market Call Banner
Macroeconomy The expected rebound in government spending, the improvement in external trade, and below-2% inflation by August should help boost economic performance in the last quarters of 2019. Moreover, we think that real economy and financial markets will be boosted by the anticipated cut in US and local policy rates. Fixed-Income Market The global economic slowdown and trade war impacted... Read More

Weekly Equities Summary and Outlook : August 27 – August 30, 2019

Marwin Nunez
Weekly-Equities-and-Economic-Outlook
Equities Outlook Outlook. We expect the market to correct this week between 7,700-7,900, after it rallied for three straight trading sessions last week and amid negative sentiment from the latest round of US-China trade tariffs which kicked in on September 1. The additional US tariffs have slapped Chinese goods worth $125bn with 15% duty, while another $175bn worth of goods... Read More

Weekly Fixed Income Summary : August 27 – August 30, 2019

Marwin Nunez
Weekly-Fixed-Income-Summary-and-Outlook
Less Than 2% August Inflation: Ten Years Headed Lower Outlook. Lower inflation rate guidance by the Bangko Sentral ng Pilipinas (BSP), 1.3-2.1% for last month, is not helping much to push down the ten year rate which continues to hover around 4.2%-4.4%. Some big banks are locking in profits, selling huge profitable positions and that’s keeping secondary rates steady and... Read More

Weekly Fixed Income Summary : August 5 – August 9, 2019

Marwin Nunez
Weekly-Fixed-Income-Summary-and-Outlook
Liquidity Easing Outlook. Interest rates are moving lower on liquidity easing by the BSP, a trend likely to be sustained, also on the back of lack of news about an aggressive return by the government back to the bond market. Foreign borrowing was just concluded with the Samurai bond float this month worth Php44bn, which raised the foreign reserves buffer... Read More

Weekly Equities Summary and Outlook : August 5 – August 9, 2019

Marwin Nunez
Weekly-Equities-and-Economic-Outlook
Equities Outlook Outlook. The Philippine stock market may see more downside with today’s drop ahead of the MSCI rebalancing implementation by month-end, weaker sentiment on the GDP growth disappoint, and negative surprises on corporate earnings news flow like the latest on PGOLD’s -5% earnings and Semirara Mining and Power’s 26% drop released this morning. So far, earnings of the twenty... Read More

Weekly Fixed Income Summary : July 29 – August 2, 2019

Marwin Nunez
Weekly-Fixed-Income-Summary-and-Outlook
Easing Outlook. Local yields may further drop this week as the market prices in expectations of Monetary Board’s (MB) 25-bp policy rate cut on August 8 due to sustained deceleration in July inflation of 2.4% released today and another sub-6% GDP growth in Q2-2019 (Quarter 2; 5.9% consensus) to be released on August 8. In addition, BSP Governor Benjamin Diokno... Read More

Weekly Equities Summary and Outlook : July 29 – August 2, 2019

Marwin Nunez
Weekly-Equities-and-Economic-Outlook
Equities Outlook Outlook. Expect the market to follow the correction seen in the global markets. The PSEi is expected to trade somewhere around the 7,700 – 7,900 support, dragged by global headwinds, MSCI rebalancing, and local corporate earnings. Trade war escalation will remain the theme in the global market for the week, although we may find some comfort from a... Read More