MANILA, Philippines - The local equities market continued to climb yesterday, with the main composite index staying above the 7,000 level at the close of trading.
The benchmark Philippine Stock Exchange index (PSEi) rose 19.83 points, or 0.28 percent, to close at 7,089.01, while the broader All Shares index gained 15.01 points, or 0.37 percent, to finish at 4,040.62.
“The local market is again showing some encouraging signs. After dropping to year-to-date losses, hitting a closing low of 6791.01 in the fall-out from the yuan depreciation, stocks have rebounded even as it continues to sustain losses and still unable to close the August 24 gap,” said Justino Calaycay of Accord Capital.
Calaycay said at this point, it’s all about investor confidence, which would depend a lot on what would happen to the Philippine economy, the US Fed decision and the Chinese economic growth.
“Are we confident enough that the economy will be able to overcome and hit adjusted targets? Will we be able to weather slower Chinese growth? A US interest hike? Won’t business and investment confidence be shaken by 2016 political rhetoric? Still more needs to be answered. However, the way the market has rebounded off its lows - and worst slump in recent memory - is something that some quarters may draw inspiration from,” he said.