Fed, Bangko Sentral rate cuts could boost market

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Bangko,Sentral,Rate

BARGAIN hunting could snap the stock market out of a three-day decline ahead of monetary policy decisions due later this week, analysts said.

The benchmark Philippine Stock Exchange index closed Friday at 6,616.51, its lowest so far for the month and down 1.7 percent lower week on week.Philstocks Financial Inc. research manager Japhet Tantiangco said 'the local market is still moving sideways with a bearish bias as investors maintain a cautious stance, dealing with lingering headwinds while waiting for positive leads.

7 percent in November, slightly higher than previous months, and notably, 3.3 percent without the volatile food and energy baskets,' it said.'The minimal uptick should almost make a rate cut near certainty, bringing the target rate to the 4.25 percent to 4.50 percent range by the end of 2024.'Unicapital Group research head Wendy Estacio-Cruz said 'it is likely that the US Fed will cut a quarter percentage point as November inflation rate remains above target of 2 percent.

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