The local benchmark index was flat as investors wait for major economic news from the US.
The Philippine Stock Exchange Index (PSEi) eked out a gain of 0.11 points or 0.002 percent to close at 6,507.26 although only Conglomerates and the Services sector managed to advance while the Industrial counter led decliners. Volume improved to 517 million shares worth P5.51 billion as losers beat gainers 127 to 68 with 43 unchanged.
“Philippine shares kicked off the week slightly above, as many are awaiting the US CPI report on Tuesday, which would likely determine market sentiment,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that , US retail sales and Philly Fed manufacturing reports will be out on Thursday while key economic releases in the Philippines are the March foreign direct investments on June 13, and April Cash Remittances on June 15.
Philstocks Financial Assistant Research Manager Claire Alviar said “The local bourse closed flat this session as investors were waiting for the release of the US inflation rate and the decision of the Federal Reserve on interest rates.”
China Bank Capital Managing Director Juan Paolo Colet noted that, “The index ended the day flat but with increased value turnover as investor sentiment was at an equilibrium between bargain hunters and cautious traders ahead of US May inflation data.”
He added that, “The market would want to see continued deceleration in US inflation figures, which could give the Fed leeway to forego any rate hikes in the near term.”