September 13, 2024 | 12:00am
MANILA, Philippines — The local stock market has returned to the 7,000 level after more than a year and a half on the back of a slower US consumer inflation in August.
The last time the PSEi finished above 7,000 was on Feb. 3, 2023 at 7,027.38.
Also joining the rally was the broader All Shares index, which climbed by 0.68 percent or 25.44 points to settle at 3,791.65.
The PSEi finally closed above the 7,000 level for the first time in more than 19 months as investors reacted to a relatively favorable US August headline inflation print as well as an overnight tech-driven rally in US stock markets, China Bank Capital Corp. managing director Juan Paolo Colet said.
US consumer inflation was reported to have fallen to a three-year low at 2.5 percent in August.
“Market participants also cheered NEDA Secretary Arsenio Balisacan’s remarks that Philippine GDP could grow faster in the second half of the year,” Colet said.
Colet said that the market may attempt to hurdle the next resistance at 7,100 if the 7,000 breakout is sustained in the next few days.
All sectors were in the green after yesterday’s session, with property leading the way with a 1.40-percent jump.
Also performing strongly were the services and holding firms, which grew by 1.29 percent and 1.17 percent, respectively.
Market breadth, however, was negative as decliners crushed advancers, 107 to 90, while 60 issues were unchanged.
Net value turnover thinned to P4.67 billion from the previous day’s P6.08 billion.
Bloomberry Resorts registered the largest gain among the index members at 3.01 percent, while Globe Telecom lost the most with 1.52 percent.
Among the most actively traded stocks were ICTSI (up 2.80 percent), DIgiPlus (down 4.76 percent), BDO (up 0.76 percent), Ayala Land (up 2.01 percent) and SM investments (up 1.55 percent).
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