Share prices rose as investors bet the Bangko Sentral ng Pilipinas will keep rates steady.
The peso closed up.
The BSP kept its benchmark interest rate steady at 6.50 percent for a third straight meeting, as expected, as price pressures have further eased.
The Philippine Stock Exchange index was up 27.62 points to 6,882.15, a 0.4 percent hike.
The broader All Shares index was up 13.32 points or 0.37 percent to 3,601.55.
Gainers edged losers 91 to 83 with 65 stocks unchanged. Trading turnover reached P5.31 billion.
The peso closed at 56.02 to the dollar, up from 56.10 on Wednesday.
The currency opened at 56.06, an intraday low, and hit a high of 55.94. Trading turnover reached $958.68 million.
The dollar consolidated below a three-month high after US inflation data pushed back bets on a first rate cut by the Federal Reserve to the middle of the year.
The market is currently pricing in no rate cut for March, and see a 60 percent chance the Fed will also hold rates at its May meeting.
Most actively traded BDO Unibank Inc. was up P1.70 to P154.30. Ayala Land Inc. was down P0.20 to P34.70. Bank of the Philippine islands was steady at P114.50. Universal Robina Corp. was up P2.40 to P118.30. SM Investments Corp. was up P1 to P916. GT Capital Holdings Inc. was up P11 to P720. Ayala Corp. was steady at P708. SM Prime Holdings Inc. was down P0.20 to P34. Monde Nissin Corp. was up P0.24 to P10.60.
