Shares open lower on Fed hike concerns


Posted at Sep 13 2016 11:22 AM

MANILA – Share prices opened lower on Tuesday as investors gauged the possibility of an interest rate increase by the US Federal Reserve next week, an analyst said.

The Philippine Stock Exchange Index opened 0.57 percent weaker to 7,538.37 after a three-day weekend.

Mike Bengson, head of research at Maybank ATR Kim Eng Securities Inc. told ANC’s “Market Edge with Cathy Yang” that a rate increase by the Fed was more likely towards the end of the year.

“That event could cause quite a bit of volatility in the market,” Bengson said.

Bengson said the main index could end the year “flattish with the risk to the downside.”