Property momentum, measured optimism and PSEi retreat

Here’s a recap of last week’s market activity from First Metro Securities.

Property news

REIT. Ayala Land Inc. (ALI) raised P489.4 million from the sale of 12 million AREIT shares to institutional investors. The move is part of ALI’s broader strategy to enhance liquidity and expand AREIT’s public float in compliance with regulatory requirements.

Strong housing demand. Cebu Landmasters Inc. (CLI) posted P4.3 billion in reservation sales just three days after launching Casa Mira Homes GenSan, its first solar-ready residential project. Impressively, 85 percent of the 1,034 units were sold almost immediately, reflecting strong demand for sustainable, value-driven housing in emerging urban centers.

Economic news

Inflation. The Philippines’ headline inflation nudged up slightly to 1.4 percent in June from the 1.3 percent recorded in May. This brings the average inflation in the first half of the year to 1.8 percent—still below the Bangko Sentral ng Pilipinas’ target band, reinforcing the case for an accommodative monetary stance.

Measured optimism. According to TransUnion’s Q2 2025 Consumer Pulse Study, Filipinos are entering the second half of the year with measured optimism. While expectations for income growth remain positive, concerns over inflation, employment stability, and interest rates continue to influence cautious financial behavior.

Improving financing access. The Department of Agriculture is negotiating an $873 million World Bank loan under the PHL MSME PRIME initiative—designed to improve financing access and climate resilience for micro, small, and medium agribusinesses. An initial $400-million disbursement is tentatively set for 2027.

New power supply. The Energy Regulatory Commission (ERC) ramped up regulatory activity in Q2, granting a record number of certificates and approvals. This led to the addition of 6,150 megawatts of new power supply, underscoring progress in strengthening the country’s energy infrastructure.

Philippine Stock Exchange index (PSEi)

The local bourse ended the week in the red, with the PSEi falling 73.41 points (-1.13 percent) to close at 6,395.57, as investors booked profits in response to the latest inflation print. While June inflation edged up to 1.4 percent, the figure remains well within the BSP’s 2 to 4 perent target range, fueling optimism over a potential policy rate cut in the upcoming Monetary Board meeting.

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