A quick look at the week ahead

We have a big week coming up, so let’s get into it!

PH:  Locally, we kick things off with the BSP’s rate decision today, which should come mid-morning. Then we take two days off in a row with the Day of Valor on Tuesday and Eid on Wednesday. Then on Friday, we finish off the week with the listing of Cebu Landmasters’ preferred shares offerings (CLIA1 and CLIA2).

International:  Quiet start to the week. The first scheduled action is on Thursday when we hear about the US’s CPI data for March.

MB BOTTOM-LINE: Higher for longer-er? I’m curious to see how the market and our analysts will respond to the BSP’s decision today, and to the comments that the central bank will release to discuss its inputs, priorities, and concerns. I wonder if the recent GDP downgrades will add fuel to the fires that have been burning to get the BSP to pivot early and lower rates to boost economic activity. Statement after statement, the BSP has been making the argument that the main drivers of inflation are on the supply side, not the demand side. The BSP has kept in step with the Fed to protect the Peso’s value, but I wonder if the Peso’s resilience will give the BSP a little room to get creative. I’m not expecting anything surprising this time, but like I said before, I want to read the statement and the responses. Could be interesting!

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