MANILA — Local markets ended the trading week on a positive note after local shares were energized by Wallstreet’s gains and the peso got an upward boost due to profit-taking.
After a three-day slide, the Philippine Stock Exchange index (PSEi) recovered and rose 1.40 percent, or 97.49 points, to 7,064.33 points.
Luis Limlingan, Regina Capital Managing Director, said local shares were helped by the “strong comeback” of US stocks overnight.
“However, gains were limited to below 7,100 as the futures market was trading mostly in the red down more than 200 points in the afternoon session,” he said.
“Most of Asia also closed lower as investors grapple with a potential slowdown in the world economy given the ongoing trade wars,” he added.
The rise of the PSEi was mirrored by the broader All Shares with a 1.20 percent, or 51.35 points, increase to 4,332.59 points.
Holding Firms led the sectors with a 2.14 percent rise and was followed by the Property, 2.07 percent; Industrial, 0.87 percent; Services, 0.25 percent; and Financials, 0.10 percent.
Only the Mining and Oil ended on the red after it fell 0.16 percent.
Volume reached 892.97 million stocks amounting to PHP4.97 billion.
Losers led the gainers at 99 to 80 while 56 shares were unchanged.
Relatively, the peso ended the week at 53.64, PHP0.16 better than its 53.8 close Thursday.
Landbank market economist Guian Angelo S. Dumalagan traced the local unit’s strength to “profit taking ahead of the likely softer US GDP (gross domestic product) growth report tonight.”
For the day, the peso opened sideways at 53.75 from 53.81 in the previous session.
It traded between 53.77 and 53.64, resulting to an average of 53.732.
Volume reached USD723 million, higher than the USD667.1 million a day ago.
Dumalagan expect the peso to trade “generally sideways” next week “amid possibly mixed US data.”
“US GDP growth likely slowed in the third quarter, while US employment creation likely remained firm for the month October, keeping the Fed on track to hiking rates again this December,” he added. (Joann Villanueva/PNA)
