The Philippine market has been under pressure on concerns over elevated valuations and the administration’s volatile response to critics of his deadly anti-drug campaign or so-called extrajudicial killings, which caused foreign investors to exit the market. Since the end of July, foreigners have pulled $388.4 million from Philippine stocks, according to BusinessMirror.
Duterte’s meeting could provide an opportunity to improve relations with China, the Philippines’ largest trading partner, which has seen relations strained by territorial disputes in the South China Sea.
“Should he demonstrate his good faith, the trip will present a long overdue opportunity for the two nations, which enjoy longstanding friendship, to heal the wounds of the past few years and steer their relationship back to the right course,” Xinhua News Agency said.
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