EPISODES of profit-taking could occur this week following the US Federal Reserve's jumbo rate cut and the Bangko Sentral ng Pilipinas' lowering of bank reserve requirements, analysts said.The Fed's 50-basis point interest rate cut and the 200-bps reduction to the reserve requirement ratio for universal and commercial banks helped boost the local stock barometer to a two-and-a-half year high of 7,252.32 last Friday.Week-on-week, the benchmark Philippine Stock Exchange index added 229.
'For the week, Tantiangco sees some 'episodes of profit taking.''However, the market may still end next week on a positive note as the dovish monetary policy outlook of the BSP and the Fed may continue to uphold optimism.''The peso's appreciation, if it continues, is also expected to help in sustaining the market's upward movement,' he added.The currency this month returned to the P55 per dollar level, but it slipped eight centavos to P55.69:$1 on Friday.