Share prices rose Tuesday as investors placed their bets ahead of the Bangko Sentral ng Pilipinas’ (BSP) policy meeting today, October 16.
The peso closed down.
The Philippine Stock Exchange index was up 129.90 points to 7,456.31, a 1.77 percent hike.
The broader All Shares index was up 61.73 points or 1.53 percent to 4,0862.45.
Gaines edged losers 124 to 92 with 45 stocks unchanged. Trading turnover reached P6.39 billion.
The peso closed at 57.865 to the dollar, down from 57.47 on Monday. The currency opened at 57.455 and hit a high of 57.43 and a low of 57.92. Trading turnover reached $1.47 billion.
Asian currencies faltered on Tuesday, as the US dollar held firm near a two-month peak and investors grew cautious ahead of a slew of key monetary policy decisions due later this week.
Investors in the region waited for monetary policy decisions on Wednesday from central banks in Thailand, the Philippines, and Indonesia.
The BSP, which lowered its interest rate in August for the first time in nearly four years, is expected to deliver two more cuts this quarter, a Reuters poll showed.
“The central bank cut rates by 25 bps back in August, front-running the Fed. And despite the peso’s recent weakness, it is forecast to cut again in October by 25 bps, matching the Fed’s easing overall so far,” ING analysts said.
Luis Limlingan, managing director at Regina Capital and Development Corp., said investors bet ahead of the BSP policy meeting Wednesday helped the stock market to pick up steam.
Most actively traded BDO Unibank Inc. was up P2.40 to P161. International Container Terminal Services Inc. was up P6.40 to P408.40. Metropolitan Bank and Trust Co. was up P3.10 to P81.50. Bank of the Philippine Islands was up P0.60 to P140.60. Ayala Corp. was up P10 to P37.10. PLDT Inc. was up P14 to P1,516. Security Bank Corp. was up P4.20 to P98.20. SM Investments Corp. was up P30 to P989. Semirara Mining and Power Corp. was down P0.25 to P34.
