PSEi bounces back on positive cues from Wall Street

MANILA, Philippines — The stock market immediately returned to its winning ways yesterday after Tuesday’s loss as investors sought inspiration from positive developments in Wall Street.

The Philippine Stock Exchange index (PSEi) rose by 0.31 percent or 20.62 points to end at 6,687.71, while the broader All Shares index added 0.24 percent or 8.69 points to settle at 3,594.62.

“Philippine shares closed in positive territory as investors continued rotating across the board into names that would be prime beneficiaries of a rate cut. Locally, investors also speculated that the failed assassination attempt has improved Donald Trump’s prospects of reclaiming the White House,” Luis Limlingan of Regina Capital said.

Claire Alviar of Philstocks Financial said the local bourse’s climb was primarily driven by positive cues from Wall Street overnight, which in turn was fueled by optimism toward second quarter corporate results and hopes of a rate cut by the Federal Reserve soon.

“Moreover, sentiment was further lifted as some institutions maintained their economic growth projections for the Philippines at around six percent, despite a slight downward revision by the ASEAN+3 Macroeconomic Research Office,” Alviar said.

Net market value turnover thinned to P3.91 billion from the previous day’s P4.90 billion. 

Sectoral gauges were a mixed bag with mining and oil leading the charge with a 4.27-percent surge.

Property and financials, meanwhile, dropped by 0.34 percent and 0.31 percent, respectively.

It was a close bout but advancers managed to eke out a 97 to 95 win over decliners, while 42 issues stayed the same.

ACEN recorded the largest gain among index members with 2.80 percent, while JG Summit Holdings lost the most at 2.36 percent.