NextGen Day

Prior to the release of the Federal Reserve’s rate decision, the local stock gauge opened the shorter trading week higher, while the peso declined to a US dollar.

The Philippine Stock Exchange index (PSEi), which was previously at 6,206.24 points, increased by 0.86 percent, or 52.81 points.

With a gain of 0.61 percent or 19.72 points, All Shares lagged behind at 3,277.01 points.

The majority of the sectoral gauges also increased during the day, including Property (3.54%), Holding Firms (1.52%), and Financials (0.43%).

Services, Mining and Oil, and Industrial all had declines, each by 1.75 percent, 0.40 percent, and 0.12 percent, respectively.

496.31 million shares, or PHP6.29 billion, in thin volume.

At 105 to 74, more shares advanced than declined, while 47 were unchanged.

“Investors made bets ahead of the main highlight this week in the United States, which is the Fed’s (Federal Reserve) latest policy decision at the conclusion of its meeting on Wednesday,” said Luis Limlingan, head of sales for Regina Capital Development Corporation (RCDC). The street anticipates an upward benchmark rate adjustment of three-quarters of a point.

The United States non-farm payrolls for October will be released on November 4; the Philippines’ October 2022 inflation rate, producers’ price index, and balance of trade report will be released this week, according to Limlingan.

More locally-based firm earnings that met or exceeded forecasts have also been reported, he added, further boosting mood.

Furthermore, he mentioned the increase in oil prices on the world market, with Brent crude rising by 1.8 percent to USD 94.51 per barrel and West Texas Intermediate (WTI) by 2 percent to USD 88.27 per barrel.

In the meantime, the local currency fell from 57.97 to 58.47 to the US dollar on Friday.

It traded between 58.49 and 58.02 throughout the day after opening at 58.05. For the day, the average was 58.224.

Volume decreased from USD 912.35 in the prior session to USD 844.15 million.

Michael Ricafort, chief economist of Rizal Commercial Banking Corporation (RCBC), ascribed the peso’s decline to a correction following a good performance the previous week.

Prior to the widely anticipated fourth large/jumbo rate rise of +0.75 (by the Fed) on November 2, 2022 (US time zone), he added, “The US dollar also corrected higher recently vs. other global currencies to one-week highs.”

The Bank of England (BoE) completed its first sale of bonds (GBP750 million or USD 860 million) “that were bought under the quantitative easing (QE) program, as well as signals of higher taxes in the UK that recently supported gains in the UK financial markets (after increased volatility earlier in October 2022),” he said. These factors and others are also contributing to the strength of the dollar.

According to Ricafort, the peso will fluctuate on Thursday between 58.35 and 58.55 to the US dollar.

Save/Share this story with QR CODE

---

Disclaimer

This article is for informational purposes only and does not constitute endorsement of any specific technologies or methodologies and financial advice or endorsement of any specific products or services.

📩 Need to get in touch?

📩 Feel free to Contact NextGenDay.com for comments, suggestions, reviews, or anything else.

---

We appreciate your reading. 😊Simple Ways To Say Thanks & Support Us:
1.) ❤️GIVE A TIP. Send a small donation thru Paypal😊❤️
Your DONATION will be used to fund and maintain NEXTGENDAY.com
Subscribers in the Philippines can make donations to mobile number 0917 906 3081, thru GCash.
3.) 🛒 BUY or SIGN UP to our AFFILIATE PARTNERS.
4.) 👍 Give this news article a THUMBS UP, and Leave a Comment (at Least Five Words).

---

AFFILIATE PARTNERS

World Class Nutritional Supplements - Buy Highest Quality Products, Purest Most Healthy Ingredients, Direct to your Door! Up to 90% OFF.
Join LiveGood Today - A company created to satisfy the world's most demanding leaders and entrepreneurs, with the best compensation plan today.

---