Overseas news
According to the International Monetary Fund (IMF), risks to the global inflation outlook have lessened but haven’t gone away completely. This came as food prices were seen to remain vulnerable to supply shocks, worsening geopolitical tensions, and recurrent commodity price volatility.
Food, as a daily necessity, is often a major contributor to inflation rates.
In the US, equities closed higher ahead of the Q3 earnings of around 169 S&P 500 companies and the jobs report. The Dow Jones was up 0.65% to reach 42,387.57, the S&P 500 increased by 0.27% to close at 5,823.52, and the Nasdaq Composite rose 0.26% to land at 18,567.19.
These major indices typically reflect the state of the US stock market in general and may also hint at investors’ expectations for the future.
Asian currencies are expected to underperform under a Donald Trump presidency, Capital Economics said in a report. The USD/PHP closed 0.16% lower at 58.255 on Monday from 58.32 on Friday.
Meanwhile, China’s industrial profits fell 27.1% in September, the steepest monthly drop for the year, after August’s 17.8% decrease. This came as supply continues to outweigh demand and while producer prices experienced a sharper decline.
In China, industrial profit figures are from companies that earn at least 20 million yuan (USD 2.8 million) from their main operations annually.
Local developments
The Philippine Stock Exchange index (PSEi) closed 0.39% higher to reach 7,343.24 on Monday, while the broader All Shares index improved by 0.47% to end at 4,036.20. This happened as more companies released their Q3 earnings.
Similar to the developments in the US equities scene, the PH stock indices may represent steadily rising investor confidence.
While the news is generally positive, it might be too early to conclude that the situation will remain this way for the near future. Staying updated and seeing if things really are headed upwards might be the right decision for the moment.
