In more than three months, THE Key INDEX climbed to its highest level as local and foreign buyers picked up shares on rising hope about the stabilization of the economy.
The Philippine Stock Exchange (PSEi) bellwether index advanced 165.88 points or 2.71% to finish on Wednesday at 6,278.59.
This marked the third day in a row that the PSEi registered a growth and a return to 6,200 after 6,285.50 on the 8th of July.
Timson Securities said the local stock markets managed to close above 6,200 points in a message as investor sentiment is still optimistic about the country’s economic re-opening Timson Securities said the local stock markets managed to close above 6,200 points in a message as investor sentiment is still optimistic about the country’s economic re-opening.
Although Metro Manila mayors have recently indicated that they want the new lockdown status to continue until the end of the year, the government has begun to re-open waivers from new quarantine laws to satisfy more business sectors.
On Wednesday morning, the Department of Tourism announced that it would encourage hotels to run at maximum capacity even under the current lock-down status, which used to restrict them to skeleton staff.
As a result, the property sub-index increased to 2,995.06 at the end of Wednesday’s trading session, up 103.84 points or 3.59 percent.
Financials have increased by 59.20 points or 4.89 percent to 1.268.21; mines and oil increased by 283.06 points or 3.84 percent to 7.644.92; holding businesses increased by 144.81 points or 2.29 percent to 6.447.56; utilities increased by 16.54 points or 1.13 per cent to 1.469.47; and manufacturing corporations gained 75.63 points or 0.91 per cent to 8.352.31.
Another catalyst of demand growth was international buyers’ return to net sales. After 28 consecutive days of net foreign sales, offshore investors reported a net inflow of P343.24 million on Wednesday.
Regina Capital Development Corp said that after a new round of fiscal stimulus talks in the United States, a good sense of the Philippine economy tends to take measures.
After Trump’s administration and House Speaker Nancy Pelosi agreed to address the latest fiscal stimulus package on Tuesday, US stocks rose: Dow Jones Industrial Average, S&P 500 and Nasdaq Composite improved by 0.40 per cent, 0.47 per cent and 0.33 per cent respectively.
Timson Securities reported that Asian shareholdings were significantly higher on the basis of resurgent hope for a possible stimulus package in the US prior to polls on Wednesday.
Price turnover rose to P10.52 billion on Wednesday, with 2 billion issues exchanging hands, up from P8.23 billion in the previous session with 2.24 billion issues.
Advancers stood at 163, decliners at 49, while unchanged names totaled 39.