Category: Business Mirror

At the charming location of Silay City, the soon-to-rise La Alegria Residential Estates is expected to captivate property investors with a lifestyle that overflows with nature’s charm and serenity.

The 70-hectare lake development is the first-ever lake community in the area and is one of the latest flagship projects of real estate developer Sta. Lucia Land Inc.

Within the vicinity, residents will get to see a man-made lake area, the property’s most prominent feature. The area, which is named Lake Victoria, is estimated to be at 5 hectares and was intentionally built to be a scenic location for recreational activities such as kayaking, jogging, and having a picnic.

Additionally, Lake Victoria was also built with a striking lighthouse, an additional feature that allows for an Instagram-worthy background. Inside, owners can climb a few flights of stairs to enjoy a delightful view of the lake and community.

La Alegria is also built at a location accessible from the Bacolod-Silay International Airport within minutes. It’s a major factor for those looking for a quiet and relaxing neighborhood without having to compromise on accessibility. Imagine your daily drives to the metro and coming home easily to a neighborhood filled with nature’s beauty.

Choosing a lake community like La Alegria elevates your average property investment. With a lake community, you not only invest in a long-term home, but you also consider how it can positively impact your overall health, especially with the fresh air and the green spaces, which can inspire you to unplug, break some sweat, and be active.

As with any Sta. Lucia flagship, La Alegria is also built with a multi-purpose clubhouse with a swimming pool and children’s playground, additional leisure features that will add a touch of leisure to everyday experiences.

Part of Sta. Lucia’s vast collection of lake communities, La Alegria reflects Sta. Lucia’s expertise in designing properties that innovate modern living. The developer intentionally designs its lake communities to engage both the investors and locals who seek to immerse themselves in a greener space.

DESPITE headwinds, the Philippine financial system enjoyed higher deposits and loan expansion, propelling the sector’s total resources to a new record high.

Data from the Bangko Sentral ng Pilipinas (BSP) showed that the combined funds and assets of banks (excluding the central bank) and non-bank financial institutions (NBFIs) climbed as of end-June to a record P38.31 trillion, up 8.93 percent from the P35.17 trillion as of June last year.

BSP data showed that on a month-on-month basis, total resources held by the country’s financial system increased by 1.78 percent from the P37.64 trillion as of end-May 2026.

Banks accounted for the bulk, or 83.43 percent of total resources, while NBFIs held the remaining 16.57 percent share.

Resources held by banks climbed 9.95 percent to P31.96 trillion as of end-June from P29.067 trillion in end-June 2025 while those held by non-banks climbed 3.93 percent to P6.345 trillion as of the first half of the year.

‘Despite a more challenging environment marked by elevated inflation and softer economic growth, the data shows that liquidity in the financial system remains ample and confidence in formal financial institutions remains intact,’ Jonathan L. Ravelas, senior adviser at Reyes Tacandong and Co. said.

Ravelas said the growth in the total resources to a record high reflects the ‘continued strength’ of the banking sector, which remains the primary driver of asset growth.

Michael L. Ricafort, chief economist at Rizal Commercial Banking Corp. (RCBC), said the growth in the country’s financial system resources could be ‘largely attributed to the continued growth in banks’ assets, especially driven by banks’ loan growth consistently near 10 percent in recent months amid some hedging activities before borrowing costs go up further as a matter of prudence.’

Ricafort said the growth in resources within the financial system could have also been driven by banks’ deposits especially since the ‘doubling of deposit insurance that increased confidence by the depositing public.’

Further, he said the sustained large net income/earnings of banks that are added to banks’ capital also drove the financial system resources.

Total resources

BROKEN down, universal and commercial banks (UKBs) continued to dominate the sector, holding 92.77 percent of total banking resources, or P29.65 trillion. This is higher by 9.29 percent from P27.13 trillion as of June 2025.

Thrift banks accounted for 4.74 percent of all resources in Philippine banks, at P1.515 trillion as of June2026, posting a 10.22 percent increase from P1.369 trillion as of end-June 2025.

Resources of rural and cooperative banks also grew 38.15 percent to P587 billion as of June 2026, representing 1.84 percent of the banking system’s assets from P424.9 billion in the same period in 2025.

Digital banks posted the largest growth in resources, surging by 46.66 percent to P208.4 billion as of end-June 2026, compared to the P142.1 billion as of June 2025.

The share of resources held by digital banks, however, is only equivalent to .65 percent of the total resources held by banks.

Ravelas said the ‘encouraging takeaway’ from the latest data proves that funds are available to support economic activity.

However, he pointed out anew that the bigger challenge now is ‘ensuring that this liquidity is channeled into productive investments, infrastructure, business expansion, and job creation.’

Ravelas added that ‘looking ahead,’ he expects ‘financial system resources to continue growing at a high single-digit pace, supported by slightly elevated interest rates(hopefully sustainable inflation condition persists), healthy bank balance sheets, and steady deposit growth.’

The foreign exchange analyst also emphasized that the focus should not simply be on the size of financial resources but on how effectively these resources are transformed into ‘stronger, more inclusive and sustainable economic growth.’

MABALACAT CITY, Pampanga – As flooding eased in parts of Pampanga, agricultural and fisheries damage climbed to an estimated P748.8 million, a local business leader prompted a call for a broader, basin-wide approach to the province’s recurring flood problems.

In a statement, Capampangan business leader Rene Romero said the province should look beyond its annual cycle of flooding, dredging and repairs, and examine how water moves through the entire Pampanga River Basin.

Romero acknowledged the role of dredging, desilting, dikes, drainage improvements, pumping stations, and other flood-control measures but expressed doubts if such interventions, when pursued separately, can address a problem that crosses municipal boundaries.

Romero said flooding should increasingly be treated as a river-basin and water-management issue because water does not stop at barangay, municipal, or provincial boundaries.

PDRRMO assessed that flooding in Pampanga is being driven by several factors, including continued rainfall, high tide, overflowing rivers and creeks, upstream water flows, drainage problems, and the province’s low-lying terrain.

Candaba remained among the hardest-hit areas, with 32 flooded barangays. Water reached six feet in some areas and as high as 14 feet in others, according to the PDRRMO.

Masantol had 26 flooded barangays, while Guagua and Macabebe each had 25.

The Pampanga River Basin assessment placed the water level in Candaba at 6.20 meters, above the reported 5-meter critical level. Water levels in Arayat, Sasmuan and Zaragoza, Nueva Ecija, had reached the orange, or near-critical, level.

Gov. Lilia Pineda also called for a review of ongoing flood-control projects and said some may not have been completed.

Pineda said the government should consider temporarily stopping some flood-control works to assess whether they were addressing persistent flooding in low-lying towns.

The governor said low-lying towns continued to experience flooding and that flood-control projects should be studied before additional construction proceeds.

Romero, likewise, urged authorities to look beyond simply moving floodwater downstream and consider where excess water can be temporarily stored during extreme rainfall.

He cited detention and retention basins, reservoirs, wetlands, floodplains and, where scientifically appropriate, multipurpose dams as possible components of a broader flood-management system.

He also urged greater attention to natural flood-storage areas such as the Candaba Swamp which can temporarily accommodate large volumes of water.

‘Perhaps the better question is not where should we dredge next? But how should we manage the water from the time it falls downstream until it safely reaches the sea?’ Romero said.

‘A drainage project in one town should not simply transfer water to the next town. A dike should not protect one community while unintentionally worsening flooding somewhere else,’ he added.

According to Romero, the central proposal is a long-term, integrated flood and water-management roadmap for the Pampanga River Basin.

Romero argued combining engineered infrastructure with nature-based measures, including the protection or restoration of wetlands and floodplains where appropriate. He also pointed to rapid development as part of the flood-management discussion.

The Philippines is emerging as a key market for new energy vehicles (NEVs) in the region, according to BYD Co. Ltd. Chairman and President Wang Chuanfu, as demand for electrified vehicles (EV) continues to expand locally.

Wang said BYD was encouraged by the pace of electrification in the country and the efforts of its local partner, Ayala-led ACMobility, to expand access to electrified vehicles.

‘The Philippines has become one of the most exciting and promising markets for new energy vehicles in the region,’ Wang said during his recent visit to the Philippines.

‘At BYD, everything begins with our customers-understanding their needs, investing continuously in research and development, and creating technology that genuinely improves people’s lives.’

The Chinese automaker, which operates in the Philippines through ACMobility, sold 26,122 vehicles in the country in 2025, a 446-percent increase from the previous year, according to the company.

BYD’s local network currently has 81 dealerships, while its premium brand DENZA has four dealerships nationwide.

The company said, however, that further dealership expansion is no longer its immediate priority, as it is now more focused on scaling up its charging infrastructure.

For his part, BYD Cars Philippines Managing Director Bob Palanca said Wang’s visit underscored the company’s view of the Philippine market as it expands its local operations.

‘It reflects the progress we have achieved together over the past three years and reinforces our commitment to making world-class electrified vehicles more accessible to Filipinos,’ Palanca said.

‘As demand continues to grow, we remain focused on expanding our line up to deliver innovative products for every Filipino driver and providing exceptional ownership experience.’

Meanwhile, ACMobility CEO Jaime Alfonso Zobel de Ayala said the company’s push into electrified mobility is also tied to the cost of transportation for Filipino households.

‘The cost of mobility has long been a pain point for Filipino households, and our view is that new energy vehicles address it directly.’

ACMobility has expanded its charging network to more than 200 locations nationwide and is targeting more than 1,000 charging points by the end of 2026.

Zobel said the company’s investments since its partnership with BYD began in 2023 have covered vehicle distribution and retail, charging infrastructure and after-sales services.

‘That conviction is what brought us to BYD in 2023, and it is why we have deployed resources across the entire ownership journey, whether that be distribution and retail, charging solutions, or after-sales support.’

BYD and DENZA Philippines Country Head Adam Hu said the expansion of charging infrastructure would be important to making electrified vehicles more practical for consumers.

The company’s Philippine push comes as the government implements its Electric Vehicle Industry Strategy, which aims to increase the adoption and local production of electric and electrified vehicles.

BYD, which is listed on the Hong Kong and Shenzhen stock exchanges, reported more than ¥804 billion in revenue in 2025.

THE national government is giving local governments greater financial capacity and flexibility to respond directly to the needs of their communities, with a record level of funding intended to strengthen the delivery of basic services, infrastructure, and social assistance across the country, the Executive Secretary said.

Executive Secretary Ralph G. Recto said the Marcos administration is placing LGUs at the center of development by ensuring that provinces, cities, municipalities, and barangays have the resources to implement projects and respond quickly to the needs of their constituents.

‘The President wants people to feel the presence of the government all the way down to every town and barangay. When people need help, LGUs should have the capacity to act and provide assistance immediately,’ Recto said during his recent visit to Cebu.

A key source of this support is the P57.87-billion Local Government Support Fund (LGSF) for 2026, the largest allocation for the program so far. The fund may be used by qualified LGUs for priority projects such as roads, farm-to-market roads, water systems, health facilities, and multipurpose buildings that can also serve as evacuation centers during disasters.

Recto said the government has also simplified the process for requesting assistance under the LGSF by reducing requirements and improving procedures to speed up the release of funds.

He urged LGUs to promptly complete and submit their requirements through the Ugnayang Bayan portal so that approved projects can move forward without unnecessary delays.

The administration is also looking at further expanding the program if LGUs demonstrate that the funds are being effectively translated into projects and services on the ground.

Recto said the LGSF could receive an even larger allocation in 2027 if this year’s implementation proves successful.

LGUs are also expected to receive substantially greater fiscal support through their National Tax Allotment. In 2027, the NTA of local governments is projected to reach P1.4 trillion, the highest level on record and about 11 percent higher than this year’s allocation.

Recto said the increased resources reflect the national government’s push to empower local officials, who are often in the best position to identify the most urgent needs of their communities and deliver programs directly to residents.

He also praised Cebu’s local officials for working closely with the national government in implementing programs involving food security, infrastructure, health, and other essential public services. According to Recto, strong coordination between the national and local governments is crucial in ensuring that government assistance reaches communities faster.

Among the programs being implemented through strengthened national-local cooperation is the Bagong Pilipinas Rice Program, which aims to provide 10 kilograms of free rice every two months to nearly eight million low-income Filipino families nationwide.

During his Cebu visit, Recto led the distribution of free rice to around 120,000 families in the province and assured beneficiaries that the assistance would not be limited to a one-time distribution.

‘This is not a one-time, big-time program. Rice will be distributed every two months. The President’s instruction is simple: no Filipino family should go hungry,’ Recto said.

He added that the program is designed not only to support vulnerable households but also to provide income opportunities for Filipino farmers by sourcing the rice from local producers.

‘The benefit is twofold: families have rice on the table, while farmers earn from their harvest. The government is helping both families and farmers,’ Recto said.

Every time the rains come, the country is confronted by a familiar and rather embarrassing sight. Floodwaters rise. Waterways overflow. And from canals, creeks and drainage systems emerges a procession of plastic bags, bottles, discarded packaging and household refuse-the accumulated evidence of what we have thrown away and subsequently forgotten. Until the rain returns it to us.

President Ferdinand Marcos Jr. was confronted by precisely this problem when he inspected clearing operations at the Redemptorist waterway last Wednesday. The mountains of waste recovered from waterways tell us that flooding is not merely an engineering problem. Part of it is also a waste-management problem.

And in that visit, the President provided us a better way of looking at the mountain of garbage: it is not a crisis but it could be a harbinger of something worthwhile pursuing. He provided a lens to a new way of looking at that mountain. What if some of what we have been treating simply as garbage could become part of the country’s infrastructure?

That possibility is beginning to take physical form in New Clark City. The Bases Conversion and Development Authority and a Filipino-Indian consortium composed of ATD Waste to Energy Corp., Global Heavy Equipment and Construction Corp., and India-based Uttamenergy Ltd. are developing a P4-billion waste-to-energy facility on a four-hectare site there.

The numbers tell part of the story. The facility is designed to process about 600 metric tons of waste a day and generate approximately 12 megawatts of electricity, enough to supply the equivalent needs of more than 10,000 homes in Clark and surrounding communities. It is expected to reduce the volume of waste requiring final disposal by as much as 80 to 90 percent through controlled thermal treatment.

But those numbers are not what make this project particularly interesting. The more important development is the change in thinking behind them. For generations, our economic relationship with garbage has essentially ended at disposal. We consume something, discard what remains, collect it, transport it and then spend money finding somewhere to bury it.

In that model, waste is purely a liability. Waste-to-energy asks whether part of that liability can be converted into an economic asset. That is a profound distinction. Instead of merely paying to transport waste to increasingly scarce landfills, properly managed residual waste can potentially become feedstock for electricity generation. Something occupying land and threatening waterways acquires another possible economic use.

In a sense, waste should not be viewed merely as garbage but as a resource that, when responsibly managed, can help power homes and support economic activity. There is an elegant circularity to the proposition. The waste that helps clog the waterways can instead help generate the electricity that powers the city.

There is an interesting diplomatic footnote in the upcoming WtE plant in New Clark City. The project traces part of its momentum to President Marcos’s state visit to India in August last year, when waste-to-energy technology figured in discussions between Philippine and Indian business interests. A state visit, therefore, need not end with communiqués, handshakes and photographs.

Its real measure comes later- when an idea discussed across a conference table becomes steel, machinery, employment and electricity at home. New Clark City offers an appropriate laboratory for that proposition. It was conceived as a smart, green and future-ready metropolis. And now, it will have the country’s first waste-to-energy plant.

But there is something that citizens should take into account. If waste is to become a resource, it must first be properly separated, collected and managed. Citizens therefore become participants in the infrastructure even though they may never see the turbines inside the plant.

That may ultimately be the most interesting aspect of the New Clark City experiment. Infrastructure is usually something we imagine government building for us. Waste management is something the government must build with us. The difference is participation. Perhaps someday, when heavy rains again descend upon our cities, fewer mountains of garbage will come floating back to remind us of what we have discarded.

Not because we have simply found a better place to hide our waste. But because we finally learned that the things a nation throws away can reveal something about the way it thinks. For decades, we looked at garbage and saw something without value. New Clark City is attempting something different.

It is asking us to look at what we throw away-and see what it might still become.

MALACAÑANG said President Ferdinand Marcos Jr. is still open to reconciling with Vice President Sara Duterte amid rumors she sought a private meeting with the chief executive amid her ongoing impeachment trial in the Senate.

Palace Press Officer Claire Castro, however, did not confirm or deny if there was such a request received by the Office of the President.

‘We cannot confirm anything regarding that matter, as no information has been relayed to us indicating that such an event is actually taking place,’ she said in Filipino in a press briefing on Monday.

During the weekend, there were posts on social media which claimed that Duterte was seeking a closed-door meeting with Marcos for an undisclosed reason.

Duterte is currently being impeached for her alleged misuse of government confidential funds, unexplained wealth, discrepancies in her Statement of Assets, Liabilities and Net Worth (SALN), and threatening the lives of Marcos, First Lady Louise ‘Liza’ A. Marcos and Leyte 1st

District Representative Ferdinand Martin G. Romualdez, the chief executive’s cousin.

The relationship between Marcos and Duterte became strained after the chief executive allowed local authorities to cooperate with the International Criminal Police Organization (Interpol) in serving the warrant of arrest against the Vice President’s father, former President Rodrigo R. Duterte, from the International Criminal Court (ICC) in March 2025.

The former chief executive is currently facing crimes against humanity at the ICC for the deaths of 6,000 suspects in the war against illegal drugs of his administration.

Castro, however, reiterated that Marcos has not ruled out reconciling with Duterte or any other people, who have any disagreement with him.

‘The President is open [for a reconciliation] to all our fellow citizens and to everyone,’ she said.

The Presidential Communications Office undersecretary, however, earlier said that such reconciliation must not violate any law.

A FORMER Office of the Vice President (OVP) special disbursing Officer (SDO) on Monday testified that Vice President Sara Z. Duterte personally instructed her to release the entire P125 million in OVP confidential funds to her security officer after the money was withdrawn in cash on December 20, 2022.

Former Office of the Vice President (OVP) Special Disbursing Officer (SDO) Gina Acosta made the disclosure on Monday while appearing as a hostile witness before the Senate impeachment court, identifying Duterte as the official who directed the transfer of the funds to Duterte’s security officer Col. Raymund Dante Lachica.

‘The person who instructed me to release the P125 million to the security officer, Col. Lachica, was Ma’am Sara Duterte,’ Acosta said.

She testified that she contacted Lachica after encashing the check because she had received instructions from Duterte, whom she identified as her head of agency.

‘There was an instruction from my head of agency that once I encashed the check, I should release it to Sir Lachica,’ Acosta said.

During the proceedings, private prosecutor Atty. Amando Virgil Ligutan presented Acosta’s previous sworn testimony before the House Committee on Good Government and Public Accountability, where she explained why she released the entire amount to Lachica despite being the accountable disbursing officer.

‘Because Ma’am Inday Sara instructed that it should be released to him because he was the one who knew how to implement the programs and activities related to confidential activities,’ Acosta previously testified.

Acosta affirmed the statement before the impeachment court and said she would not have handed over the funds to Lachica without Duterte’s approval.

‘There was approval from Ma’am Inday Sara,’ she said.

When asked if she would have released the money without Duterte’s approval, Acosta answered, ‘No, Your Honor.’

Acosta also testified that Lachica was the person responsible for implementing the confidential activities funded by the OVP in 2023 because of his experience and access related to security operations.

When asked whether Lachica implemented the confidential activities, Acosta replied, ‘That is correct, Your Honor.’

Acosta admitted that she herself did not have the operational knowledge required to conduct such activities.

‘I did not know how to do it; I was not an expert in implementing various confidential activities or operations on the ground,’ she testified.

However, during questioning, Acosta acknowledged that she could not identify any provision under the government’s confidential fund rules that authorized a security officer to disburse confidential funds.

Ligutan asked whether Joint Circular No. 2015-01 contained any provision allowing Lachica, as a security officer, to release confidential funds.

‘None, Your Honor,’ Acosta replied.

She clarified that the responsibility for fund disbursement belonged to her as the designated Special Disbursing Officer.

‘My responsibility was that I was the disbursing officer,’ Acosta testified.

Presiding Officer Sen. Francis ‘Chiz’ Escudero also asked whether spending confidential funds was part of a security officer’s duties.

‘No, Your Honor. That is the responsibility of the disbursing officer,’ Acosta answered.

Acosta said Lachica’s role was focused on implementing confidential operations rather than formally disbursing the funds. She testified that after receiving the money, Lachica would submit utilization reports and liquidate the funds after the completion of the activities.

The P125 million released in December 2022 was the first of four tranches of confidential funds amounting to P500 million allocated to the OVP in 2022 and 2023.

The transactions are being examined under Article I of the impeachment complaint against Duterte, which involves allegations concerning the alleged misuse of P612.5 million in confidential funds from the Office of the Vice President and the Department of Education.

Acosta, who handled the P500 million in confidential funds as OVP Special Disbursing Officer, is currently testifying as a hostile prosecution witness in Duterte’s impeachment trial.

It’s very clever of Sunnies Face to launch a fragrance collection with the product name in colors.

Red is a floral with amber and fruit notes. Pink is a fresh floral and by that description, you’d think it’s something only a teenager would like. It’s actually very wearable. Cream is a cotton musk. Brown is a woody brown gourmand. Yellow is a fresh citrus. Green is green and earthy, while Blue is an aquatic. Beige, one of the more popular fragrances, is a skin scent. Sunnies is a multi-brand company that started with eyewear 13 years ago. It has since grown into a group of brands spanning beauty, drinkware, retail, and experiences.

Each category serves a different purpose but each one aims to ‘bring beauty in everyday things.’ Thus, fragrance seems to be a natural extension of this vision.

‘Every category we enter begins with the same question: How can we make an everyday moment feel more special?’ said Jess Wilson, co-founder and brand manager of Sunnies Face. ‘Fragrance is one of the most personal parts of someone’s routine. It felt like a natural extension of what we have always wanted to create.’

When Sunnies Face started to develop its first fragrance collection, the brand started with the question: What if you could smell color?

Each scent does live up to the color it was named after. Sunnies Blue has notes of amber, musk, sandalwood, citrus, apple, coconut, plum, and fig. Sunnies Red has sandalwood, white amber, musk, orchid, violet, jasmine, blackberry, and bamboo leaf. Sunnies Cream has ambroxan, musk, sandalwood, lily of the valley, peony, cotton, bergamot, mandarin, and lemon. Sunnies Beige has pink pepper, ambrette, musk, orris, and woody. Sunnies Brown has cinnamon, milk, cedarwood, cream, coconut, sandalwood, cashmere, vanilla, and musk. Sunnies Yellow has vetiver, tonka, cedarwood, neroli, ylang-ylang, bergamot, lemon, petitgrain, and tarragon. Sunnies Green has tomato leaves, geranium, and patchouli.

My favorites are Sunnies Green and Sunnies Beige. But I think Sunnies Brown is a very unique gourmand worth checking out. Each scent is available in two formats. Eau de Parfum (?995/50ml) offers a more concentrated and lasting fragrance experience, while Hair and Body Mist (?595/80ml) is lighter and can be used to refresh scent throughout the day.

The fragrances are available in all Sunnies Face stores and online channels.

Share prices inched up despite mixed corporate earnings result and on expectations that the Bangko Sentral ng Pilipinas (BSP) may pause rate hikes during its next meeting this month.

The benchmark Philippine Stock Exchange index gained 6.95 points to close at 6,297.30 points.

Broker 2TradeAsia said margin discipline has been the main highlight across second quarter earnings season.

‘Weighted projection for listed firms points to roughly 8 percent to 12 percent full-year earnings growth for the year, an assumption that we see as sector-specific, rather than broad-based,’ it said.

Average volume of trade was still depressed as it averaged only P5 billion. Foreign investors, who cornered 42 percent of the trades, were net sellers at P3.66 billion.

Other sub-indices ended mixed, led by the broader All Shares index that gained 20.77 points to 3,439.17, the Financials index rose 49.04 to 1,942.68, the Industrial index lost 21.65 to 8,108.49, the Holding Firms index added 77.61 to 4,542.24, the Property index was down 9.43 to 1,906.11, the Services index fell 58.05 to 3,417.18 and the Mining and Oil index shed 302.37 to 18,002.93.

For the week, gainers led losers, 125 to 80 and 39 shares were unchanged.

Top gainers were First Gen Corp., Swift Foods Inc., Ionics Inc., Paxys Inc., Cirtek Holdings Philippines Corp., Dominion Holdings Inc., Prime Media Holdings Inc. and ABS-CBN Corp.

Top losers, meanwhile, were Anglo Philippine Holdings Corp., Island Information and Technology Inc., Cityland Development Corp., Converge Information and Communications Technology Solutions Inc., Semirara Mining and Power Corp., Shell Pilipinas Corp. and Macay Holdings Inc.

This week

Share prices may remain depressed this week as investors are advised to maintain a defensive bias and resist the urge to chase high-beta cyclicals on global rate-cut headlines that may not translate into BSP action.

It will be a four-day work week as August 21 is a public holiday for Ninoy Aquino Day.

Broker 2TradeAsia said a softer United States employment data, with its July non-farm payrolls slowing to 114,000 and unemployment rate at 4.3 percent, has reignited aggressive US Federal Reserve’s rate-cut expectations, increasing expectations of ‘no move’ from the BSP at its next Monetary Board meeting on August 27.

‘We feel this assumption overlooks local realities. First, inflation eased to 6.2 percent in July but remains well above the 2- to 4-percent target, and the peso is trading near P61.40 per dollar,’ it said.

‘That leaves little room to exit the BSP’s current hawkish position at the 4.75 percent policy rate without risking renewed currency pressure. Our base case is a hold with very hawkish language attached, which should keep equity multiples capped until the Fed moves with more conviction, by around September.’

The broker said portfolio weightings should stay anchored in well-capitalized banks with strong deposit franchises and high-yield utilities or conglomerates offering dividend visibility that rival bond yields.

‘Use metal-driven rallies in local resource counters for quick gains, and keep dry powder ready for clarity once the August 27 decision lands.’

Stock picks

Broker Regina Capital Development Corp. gave a trade the range on the stock of SM Investments Corp. (SMIC) as its stock price is holding above its rising 9-day and 50-day moving averages at P596.50 and P594.49, respectively, which have converged and turned supportive.

‘However, the price remains below the still-descending 100-day SMA at P603.61, which caps immediate upside. Trade the range for now, buying support near P590 and taking profit into resistance just above the 100-day MA around P605, with a decisive close above that level needed to confirm a fresh trend reversal.’

SMIC’s shares closed last week at P600 apiece.

Meanwhile, it gave a buy on pullback advise on the stock of Jollibee Foods Corp. as its stock price closed above its short- and medium-term moving averages.

It also pushed right up against the still-elevated 100-day MA, which is the last hurdle before a full trend reversal.

‘Momentum favors chasing strength here too, buying pullbacks toward consolidation levels in the P150s and the creation of higher lows may warrant a further upside momentum.’

Jollibee’s shares closed Friday at P155 apiece.