THE local stock market sustained its upward momentum Tuesday as investors welcomed the better-than-expected inflation in October.
“Nonetheless, daily value turnover was relatively low as some market participants opted to stay on the sidelines ahead of the release of third quarter GDP data on Thursday,” Colet said. “BSP may maintain a neutral-to-hawkish stance in its ‘live’ meeting on 16 November. This comes after an off-cycle benchmark rate hike on 26 October. BSP saw it necessary to keep policy settings tighter for longer and is prepared for follow-through policy action. However, a weaker-than-expected CPI print may reduce the likelihood of more tightening in the near-term,” Ng said.
Speeches by a number of decision-makers this week including governor Jerome Powell will be analyzed for clues about the outlook, with some officials still reluctant to call an end to the tightening cycle. He told Fox News that “we need to let the data keep coming to us to see if we really have got the inflation genie back in the bottle so to speak”.All three main indexes on Wall Street ended slightly higher Monday, though the gains were tempered by a pick-up in 10-year Treasury yields, which came as a large amount of US debt hits the market.