Stock-Market Outlook | VG Cabuag

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Share prices fell for the fourth straight week after the Bangko Sentral ng Pilipinas (BSP) raised its rates by 50 basis points, but analysts said this was expected as inflation accelerated in January. Know more:

The main index was down almost all week long, except on Wednesday, when it gained 30.85 points, ahead of the policy meeting of the BSP.

Top losers, meanwhile, were Figaro Coffee Group Inc., AllHome Corp., Roxas and Co. Inc., Asiabest Group International Inc., Premiere Horizon Alliance Corp., Easycall Communications Philippines Inc., Now Corp. and MerryMart Consumer Corp.Share prices may still go down this week, but analysts see bargain hunting as total market loss for the fourth straight week of downturn is now at 4 percent.

“Concerns over a further tightening by the Federal Reserve is also expected to weigh on the market following the higher than expected US January inflation and strong labor market,” Tantiangco said. “Inflation-interest rate related gyrations should keep the market anxiety up over the near-term. On the brighter side, these pain points could be tradeable opportunities, especially for value hunters looking to hold at lower valuations,” it said.

 

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