MANILA – The main equities index started the week on a high note due in part to a positive jobs report in the US while the peso moved sideways against the US dollar.
The Philippine Stock Exchange index (PSEi) gained 1.42 percent, or 92.66 points, to 6,632.57 points.
Most of the other indexes followed, with the All Shares up by 0.95 percent, or 38.45 points, to 4,093.87 points.
Property index led the sectoral gauges after it increased by 3.65 percent and was trailed by the Holding Firms, 1.53 percent; Industrial, 0.67 percent; Financials, 0.25 percent; and Services, 0.03 percent.
Only the Mining and Oil index ended the day in the negative territory after it fell 1.87 percent.
Volume totaled 1.78 billion amounting to PHP6.4 billion.
Advancers led decliners at 115 to 91, while 34 shares were unchanged.
“Investors bought up following a Friday US rally bolstered by the stronger-than-expected jobs report,” said Luis Limlingan, Regina Capital Development Corporation head of sales.
The US economy added 943,000 jobs last July and the unemployment rate slid to 5.4 percent from expectations of 5.7 percent.
Among the local factors, Limlingan cited the scheduled release of the 2021 second-quarter gross domestic product (GDP) report on Tuesday.
He said the output report is projected to “influence the Monetary Board meeting” that will be held on Aug. 12.
“Investors have been buying ahead of the projected bounce in economic growth in the second quarter,” he added.
Economists project a better output for the domestic economy from April to June 2021 against the revised -3.9 percent in the previous quarter.
The second-quarter print, however, is expected to get a hit from the implementation of the two-week enhanced community quarantine (ECQ) starting March 29 and the modified ECQ until May 14 in the National Capital Region (NCR) and four nearly provinces namely Bulacan, Rizal, Laguna and Cavite, collectively called NCR Plus bubble.
Meanwhile, the peso ended the day at 50.385 against the US dollar from 50.4 last Friday.
It opened the day at 50.49 and traded between 50.5 and 50.31.
Average level for the day stood at 50.366.
Volume totaled to USD682.88 million, lower than the previous session’s USD1.28 billion. (PNA)
