MANILA – The local index closed the day stronger as investors kept their hopes up that the Bangko Sentral ng Pilipinas (BSP) is on track to cutting policy rates as early as August.
In Monday’s trading, the Philippine Stock Exchange index (PSEi) increased by 0.62 percent to 6,689.37, while All Shares also went up by 0.50 percent to 3,594.22 level.
Only Services and Financials declined their shares by 1.07 and 0.08 percent, respectively.
Winners were led by Property, which shares increased by 1.91 percent, followed by Holding Firms, up by 1.74 percent; Mining and Oil, up by 1.07 percent, and Industrial, up by 0.28 percent.
“The local bourse gained by 41.14 points to reach 6,689.37 due to the positive spillover from the US markets’ performance last Friday,” Philstock Financials, Inc. research associate Claire Alviar said.
“Moreover, the report that the Bangko Sentral ng Pilipinas may cut interest rates larger than expected, boosted the sentiment. Currently, it is highly anticipated that the BSP will cut rates at their upcoming August meeting,” she added.
Advancers outnumbered decliners at 117 to 59, with 52 counters left unchanged.
Meanwhile, the Philippine peso closed weaker against the US dollar on Monday at 58.48 from Friday’s finish at 58.38.
The peso opened the day weak at 58.43 from its previous kick-off at 58.26.
The currency pair traded between a low of 58.43 to a high of 58.58, bringing the average level for the day at 58.53 to the greenback.
Trade volume increased to USD1.1 billion from Friday’s volume of USD944.01 million. (PNA)
