THE Philippine Stock Exchange index (PSEi) rose for a second straight day on Wednesday, gaining 0.49 percent, or 29.44 points, to close at 6,055.45, as investors continued to hunt for bargains while taking cues from Wall Street’s overnight advance.
The local currency also strengthened further on amid declining oil prices.
Trading remained subdued, however, with net value turnover at P5.20 billion, reflecting lingering caution amid global uncertainties. Market breadth was positive, with 113 gainers, 81 decliners and 61 issues unchanged.
“The local market extended its gains as investors continued with their bargain hunting, taking cues from Wall Street’s overnight rise,” said Japhet Tantiangco, research manager at Philstocks Financial Inc.
Tantiangco added that investors were also digesting the approval by the House of Representatives and the Senate of a proposal allowing the president to suspend or cut fuel excise taxes during emergency situations.
Despite the gains, foreign investors remained net sellers, with net outflows amounting to P664.05 million.
Luis Limlingan, head of sales at Regina Capital Development Corp., said the market “continued its recovery run” as it tracked global movements, mirroring Wall Street’s performance.
“A slightly stronger peso also provided a modest cushion supporting overall sentiment,” he added.
Sectoral performance was mixed, with property stocks leading the advance, up 1.74 percent, while banks posted the biggest decline, down 0.38 percent.
DigiPlus Interactive Corp. was the top index gainer, climbing 4.51 percent to P18.08, while BDO Unibank Inc. was the main laggard, falling 2.21 percent to P119.30.
Meanwhile, the peso closed at P59.52:$1, up by 28 centavos from the previous close of P59.8.
It opened at P59.68 and traded between P59.46 and P59.68 during the session. Trading volume reached P1.777 billion, slightly lower than the previous P1.880 billion.
Rizal Commercial Banking Corp. chief economist Michael Ricafort said the peso strengthened as the price of crude oil continued to decline.