Philippine shares expected to rebound

Monday, May 22, 2006

 

Philippine shares expected to rebound

 

Philippine share prices are expected to stage a technical rebound this week after the sharp downturn of recent days, dealers said Friday.

 

The heavy losses over the past week should mean the market can now stabilize at the lower levels while investors wait for more US economic data to give a clearer lead on the outlook for US interest rates, they said.

 

For the week to May 19, the composite index fell 162.48 points, or 6.45 percent to 2,356.02.

 

Average daily volume rose to 4.5 billion shares while average daily value slipped to P2.2 billion ($41.8 million) from 4.18 billion shares worth P3.06 billion last week.

 

“It is due for a technical bounce because the market has been quite down [last] week,” said Ed Bancod of ATR-Kim Eng Securities.

 

“[This] week, we expect the market to probably start rebounding considering the declines we experienced in the last three days,” said Oliver Plana of   Asiasec Equities.

 

“It’s more for technical reasons. We’ve gone steeply lower [last] week mainly due to the declines in regional markets. When selling pressure abates regionally, the market should do better,” Plana added.

--AFP

 

http://www.manilatimes.net/national/2006/may/22/yehey/business/20060522bus13.html