Market Outlook

Volatility may continue, as market participants assess PBBM’s state of national energy emergency declaration via whole-of-government approach.

Sentiment might take its cue overseas, following Pres. Trump’s order to defer military strikes against power facilities in Iran on reports of ‘productive talks’ with Tehran.

The index declined by -0.67% w/w to 6,018.62, approaching its 6,000 key support level, where a potential rebound could occur.

Expect volatile trades, with eyes locked on headlines in the Middle East.

Iran’s latest attack on Qatar’s energy hub and KSA’s interception of missiles fired at Riyadh might cast its weight on sentiment, reinforced by the US Fed’s warning of higher near-term inflation as a result of the ongoing Middle East conflict.

The index remained the downtrend structure modestly rising +0.32%, yet remained flat near support as the local bourse plunged below all key moving averages.

The spotlight might turn anew on mining/oil-related shares, given the bullish trend for metal prices.

Possible gradual bargain hunting might set in, as participants take their cue from US equities’ advance.

The PSEi fell 4.14% w/w, closing at 6,058.94 (-261.47 points), and is now trading below its key moving averages (20-day, 50-day, 100-day, and 200-day).

The index closed lower, down 0.73%, as it moves marginally below key moving averages.

Profit-taking may continue, as sentiment glides with headlines on the Middle East.

Recovery is likely to continue, having come off from its recent high, on supply situation assurances from fiscal and global authorities.

The index rebounded +2.01%, after a sharp drop and attempts to reclaim MA100 overhead resistance, stabilizing near key moving averages after a strong intraday recovery.

Market participants may get feelers for possible rebound, given Pres. Trump’s latest word that the conflict in Iran could end sooner.

The PSEi plunged by 4.40% w/w to 6,320.41 (-290.83 pts), below 20-day and 50-day moving average, while MACD has also crossed below the signal line indicating a bearing momentum.