MANILA – Risk-on sentiment buoyed by the earning season lifted anew the Philippine Stock Exchange index (PSEi) on Wednesday but the peso depreciated against the greenback.
The main equities index rose by 1.11 percent, or 78.71 points, to 7,184.72 points.
All Shares followed with a jump of 0.71 percent, or 31.05 points, to 4,433.09 points.
Most of the sectoral indexes also rose during the day with the Property rising by 3.26 percent; Financials, 1.77 percent; Industrial, 0.63 percent; Holding Firms, 0.19 percent; and Services, 0.13 percent.
Only the Mining and Oil finished the day in the negative territory after it slipped by 0.34 percent.
Volume totaled 2.33 billion shares amounting to PHP7.52 billion.
Advancers surpassed decliners at 104 to 99, while 46 shares were unchanged.
Luis Limlingan, Regina Capital Development Corporation head of sales, attributed the rally in the local bourse to the earnings season as well as the initial public offering (IPO) of the supermarket chain AllDay Marts, Inc., which registered a 50-percent gain at its debut closing to 0.90 cents per share.
AllDay Marts raised PHP4.5 billion from the IPO and proceeds will be used by the company for debt repayment and store network expansion.
“Sentiments continued to get a lift on more earnings releases while the market looks ahead to the outcome of a critical Federal Reserve meeting,” he added, referring to the Nov. 2-3, 2021 Federal Open Market Committee (FOMC) meeting.
Limlingan said the Fed is expected to decide on a plan to slash its USD120-billion monthly bond-buying program that was put in place to help lift the world’s largest economy during the pandemic.
“Investors will also be focused on commentary about interest rates and how sustained the recent surge in inflation is,” he added.
Meanwhile, the peso weakened against the US dollar after finishing the day at 50.57 from 50.39 a day ago.
It opened the day sideways at 50.5 and traded between 50.59 and 50.45.
The average level for the day stood at 50.54.
Volume totaled USD941.7 million, lower than the previous session’s USD1.149 billion. (PNA)
