The problem of simultaneously estimating phase and decoding data symbols from baseband data is posed. The phase sequence is assumed to be a random sequence on the circle, and the symbols are assumed to be equally likely symbols transmitted over a perfectly equalized channel. A dynamic programming algorithm (Viterbi algorithm) is derived for decoding a maximum {em a posteriori} (MAP) phase-symbol sequence on a finite dimensional phase-symbol trellis. A new and interesting principle of Optimality for simultaneously estimating phase and decoding phase-amplitude coded symbols leads to an efficient two-step decoding procedure for decoding phase-symbol sequences. Simulation results for binary,

-ary phase shift keyed (PSK), and 16-quadrature amplitude shift keyed (QASK) symbol sets transmitted over random walk and sinusoidal jitter channels are presented and compared with results one may obtain with a decision-directed algorithm or with the binary Viterbi algorithm introduced by Ungerboeck. When phase fluctuations are severe and when occasional large phase fluctuations exist, MAP phase-symbol sequence decoding on circles is superior to Ungerboeck\´s technique, which in turn is superior to decision-directed techniques.