Local stock market keeps bullish outlook

CEBU, Philippines - With interest rates keeping slight increase and the slower-than-expected monetary tightening globally, the local stock market will see a bullish outlook ahead.

Stock market analyst Lexter Azurin said businesses would have reasons to expand given that interest rates remain low.

Investors view the strong economic fundamentals as they weigh up the Philippine market as a good investment destination. 

The improving domestic economic growth, increasing investment spending and the recovering corporate earnings would further buoy the capital market, said Azurin, equities research head of UniCapital Securities Inc.

“We expect the market to reach 8,500 [the Philippine Stock Exchange index] in 2015, driven by a recovery in corporate earnings, and as the election season approaches,” he told The FREEMAN.

“Definitely, the PSEi reflects the performance of the Philippine economy as a whole. It’s considered as one of the fastest growing economies in the region, its reflects also in the market, with the PSEi being the third best performing market next to India and China,” the analyst explained.

With the positive outlook ahead, market investors would have a better year to buy stocks from good and thriving industries, he said.

He advised investors to look at gaming, consumer, property, power and even media industries  which are expected make a good performance this year. — Carlo S. Lorenciana (FREEMAN)