Forex News Philippine shares likely lower after central bank's bigger-than-expected 50bp interest rate hike, weak U.S. stock futures caused by disappointing after-hour news - shares of several big tech companies (Google, Microsoft, Advanced Micro Devices) down after hours on results/outlook while Moody's downgrades debt ratings on Lehman Brothers, Merrill Lynch. PSEi's main support at 2300 after ending +0.8% at 2393.62 yesterday, says Banco De Oro market strategist Jonathan Ravelas. Adds "the bias is for the market to head lower. After yesterday's decision, we could expect the central bank to continue putting a leash on inflation by raising interest rates for the remainder of the year. That will make the cost of doing business more expensive and could affect corporate earnings." Banking and property issues such as Metropolitan Bank (MBT.PH), Bank of the Philippine Islands (BPI.PH), Ayala Land (ALI.PH), Megaworld (MEG.PH) likely lower after BSP rate hike, which could damp loan demand, home sales.
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