Share prices closed higher on Wednesday in what analysts said was a follow-through buying after the 1.4 percent April inflation report came ahead of the first quarter economic output.
Investors likewise cheered the reported meeting between US and China representatives Thursday in Switzerland. This was seen as potentially thawing the icy trade relations between the two largest economies amid US President Donald Trump’s tariff policies.
The PSEi closed 48.76 points or 0.73 percent at 6,465.45.
The broader All Shares gained 22.26 points or 0.59 percent to 3,768.38.
Gainers outnumbered losers 113 to 72, with 48 stocks unchanged. Trading turnover reached P8.26 billion.
Luis Limlingan, managing director at Regina Capital and Development Corp., said the increased risk appetite brought the benchmark index to the 6,500 level, “though gains were tempered by profit taking later in the session.”
Just after the opening bell, Limlingan said, some investors positioned ahead of the release of the first quarter gross domestic product’s (GDP) official report on Thursday.
“The local market extended its rise as investors continued to digest the Philippines’ April inflation of 1.4 percent, which is seen giving the Bangko Sentral ng Pilipinas (BSP) more room to cut policy rates,” Philstocks Financial Inc. said.
“Investors cheered the progress between the US-China relations as representatives from the two countries are set to discuss trade matters this week,” it added.
The report that unemployment in March picked up pace at 3.9 percent compared with 3.8 percent in February gave investors another food for thought.
Meanwhile, Agriculture output in the first quarter grew by 1.9 percent, faster than the prior year’s 0.2 percent, according to the Philippine Statistics Authority (PSA).
The Bureau of the Treasury (BTr) said the government’s outstanding debt reached a new high of P16.68 trillion at end-March.
Most actively traded International Container Terminal Services Inc. gained P8 to P383. BDO Unibank Inc. rose 7.70 to P165.20. Ayala Land Inc. lost P0.30 to P24. Bank of the Philippine Islands shed P2 to P138. Bloomberry Resorts Corp. dropped P0.19 to P4. DigiPlus Interactive Corp. firmed P0.25 to P41.95. Universal Robina Corp. added P0.70 to P86.90. SM Prime Holdings Inc. dropped P0.05 to P24.15. SM Investments Corp. fell P4 to P876. Globe Telecom Inc. advanced P27 to P2,022.
