Banking fears to test stock market rebound

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GLOBAL banking worries could keep investors on the sidelines and weigh on the stock market's performance this week, analysts said.

The benchmark Philippine Stock Exchange index last Friday finally snapped a run of week-on-week declines beginning the end of January. Its 6,607.17 close was 2 percent higher compared to a week earlier and also half a percent up from the start of year.The gain was attributed to an easing of concerns that other major banks could be in danger following the collapse of two US banks and Credit Suisse. Over the weekend, however, Deutsche Bank found its shares under pressure from jittery investors.

If it is able to hold its position at the said line, this will become its support while its next resistance would be at 6,800. On the other hand, failure to do so would bring the market back to its 6,400-6,600 trading range.'Online brokerage 2TradeAsia.com, meanwhile, urged investors to stay cautious of inflation-interest rate movements for the medium term as price growth drivers had yet to convincingly go down.

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