The Philippine Stock Exchange index (PSEi) started the week on firmer footing after the government reported higher international reserves, while US and China agreed to more trade talks.

The main index added 29.34 points or 0.46 percent to close at 6,406.13 on the back of advances by Conglomerates and Services, while half the sectors were lower. Volume was weak, though, at 1.08 billion shares worth P5.07 billion, as losers beat gainers 117 to 85, with 50 unchanged.

“ThePSEi gained after Japanese credit rating agency JCRA affirmed its A- credit rating with a stable outlook and gross international reserves (GIR) as of May 2025 slightly higher at $105.5 billion or equivalent to 7.3 months of imports,” said Rizal Commercial Banking Corporation Chief Economist Michael L. Ricafort.

He added that, “The PSEi also gained after US stock markets gained after mostly better-than-expected US employment data, progress on US-China trade talks.”

Regina Capital Development Corporation Managing Director Luis Limlingan said, “Philippine shares crossed over the 6,400 mark once again to start the shortened trading week as investors gear up for market-making data ahead. “

In the US, key data this week includes CPI on Wednesday, PPI and initial jobless claims on Thursday, and the Michigan consumer sentiment report on Friday—critical for gauging inflation trends and consumer outlook.

In the Philippines, all eyes turn to Friday’s foreign direct investment release, which will offer insight into investor sentiment and capital inflows amid ongoing macro reforms.

Philstocks Financial Research Manager Japhet Tantiangco said “The local market advanced on the back of hopes that the upcoming US - China trade talks in London would be productive and would eventually lead to better relations between the two.

“Hopes of policy easing by the BSP in their meeting next week also helped in the climb.”