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Overseas news
The S&P 500 and the Dow Jones Industrial Average (Dow) stock indices closed at record highs on Wednesday. Fueled by AI, this sustained rally rounds out a strong year for equities.
These 2 are among the largest and most significant stock indices in the US. Their movements typically reflect investor sentiment and expectations in the US stock markets.
Meanwhile, the Japanese government raised its growth forecast for the current fiscal year from 0.7%, to 1.1%. A faster growth of 1.3% is also expected for the next fiscal year.
Economic growth is measured by tracking changes in the gross domestic product (GDP), which is the value of everything a country produces in a given period.
Local developments
The Philippine government plans to borrow up to P824 billion from domestic sources in Q1 2026, said the Bureau of the Treasury (BTr). This is more than 80% higher than its borrowing plan for Q4 2025.
The government may borrow from domestic sources by selling debt securities such as Treasury bills, notes, and bonds. The proceeds are typically used for operations, public works, and other projects.
Additionally, the budget deficit shrank 26% year-on-year in November to hit P157.6 billion as government spending declined.
A budget deficit is what happens when the government spends more than it earns. It can be lessened by increasing revenue (usually through taxes) and/or cutting spending.
Further, the Board of Investments (BOI) said that approved investments reached P977 billion for the year as of mid-December. The figure is below the agency’s P1.7 trillion target for 2025.
The projects are expected to create over 4,000 jobs and include developments in areas such as renewable energy, infrastructure, transport and logistics, and information technology - business process management (IT-BPM) services, among others.
With the year nearing its end, there may not be any big changes happening soon. Ending 2025 with a steady investing approach may be the right move as you wait for stronger indications of how the next year might shape up.
