Stocks may sustain momentum on policy support

PHILIPPINE SHARES may sustain their momentum and continue to climb this week following the bellwether’s return to the 6,000 level on Friday after both the Bangko Sentral ng Pilipinas (BSP) and the US Federal Reserve delivered rate cuts to provide economic support. On

Friday, the Philippine Stock Exchange index (PSEi) climbed by 0.78% or 46.72 points to end at 6,036.72, while the broader all shares index declined 0.53% or 18.49 points to close at 3,434.94. Th

is was the first time that the main index closed at the 6,000 level in two weeks or since it ended at 6,022.24 on Nov. 28

. We

ek on week, the PSEi increased by 87.5 points from its 5,949.22 close on Dec. 5.

“T

he local bourse reclaimed the crucial 6,000 level as investors cheered the ‘double rate cut’ catalyst from both the BSP and the US Fed,” 2TradeAsia.com said in a market note. “The local

market is back above the 6,000 level again, attributed to the rebound driven by the Fed and the BSP’s monetary policy easing. Sustaining pos

ition above the said level remains questionable, however amid lingering concerns and challenges over our economic growth outlook,” Philstocks Financial, Inc. Research Manager

Japhet Louis O. Tantiangco said