The stock market opened the trading week on a bullish note, returning to the 6300 level as investors continued to be encouraged by the recent economic news.
The benchmark Philippine Stock Exchange Index rose 67.99 points, or 1.08 percent, to end the day at 6,354.76. The broader all-share index rose 0.71 percent, or 23.70 points, to close at 3,352.59 points.
“Right now, the sentiment inside is turning bullish” due to healthy third-quarter corporate earnings and a positive spread from Wall Street, said Claire Alviar, research fellow at PhilStox Financial Inc.
“Moreover, the short-term move of PSE is to the upside, with the 50-day exponential moving average already pointing higher,” she added.
Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the gains were in line with positive developments in the US stock market, which was said to be driven by expectations that the Federal Reserve will ease interest rate hikes.
Meanwhile, Managing Director of Regina Capital Development Corp. Louis Lemlingan said that investors are waiting for new data from the United States and the outcome of the Monetary Council meeting on Thursday.
BSP Governor [Felipe] Medalla said … last week that a vote to raise the interest rate by 75 basis points will increase the likelihood that the country will reach its inflation target by 2024.”
All sectoral indices save Mining and Oil (down 0.46%) closed in the green, led by a 1.25% gain for Industries.
Trading volume improved to 634.8 million shares worth 5.65 billion pesos.
Advances outnumbered losers 103 versus 85, while 39 securities remained unchanged.