Philippine shares rise 0.37%, tracking US market

Philippine shares rose slightly on Monday, tracking US market performance and expectations of slower August inflation.

The Philippine Stock Exchange index (PSEi) climbed by 0.37% to close at 6,923.41, while the broader all shares index increased by 0.23% to end at 3,751.41.

Philstocks Financial's Senior Research Analyst Japhet Louis O. Tantiangco noted that market sentiment improved due to expectations of a decline in August inflation compared to July’s 4.4%. Investors also followed positive cues from Wall Street.

Analysts predict the August consumer price index will likely ease to around 3.7%, within the Bangko Sentral ng Pilipinas' (BSP) target range, driven by drops in rice and fuel prices.

Investors are monitoring additional economic indicators such as the peso's movement against the dollar, the S&P Global Philippines' Manufacturing Purchasing Managers' Index for August, and labor force figures for July.