MANILA, Philippines — Market investors turned their focus on strong 2019 corporate earnings pushing share prices higher yesterday.
The benchmark Philippine Stock Exchange index (PSEi) rallied to 7,396.94, up 74.05 points or 1.01 percent, while the broader All Shares index gained 21.11 points or 0.48 percent to finish at 4,362.09.
All the other gauges rallied as well, with the holding firms, services and industrial sectors all closing in the green.
Total value turnover reached P6.5 billion. Market breadth was positive with 101 advancers to 91 decliners.
“Full year 2019 earnings anticipation fueled yesterday’s bargain hunting, sending the local bourse higher by 74.05 points (1.01 percent) at 7,396.94. Volume and value turnover posted 621.2 million and P6.5 billion, respectively. Conglomerates took the lead, adding 1.17 percent. Advancers edged decliners, 101 to 91,” Philstocks Financials said.
There was also renewed optimism throughout the region as manufacturing activities in China resumed.
Net foreign buying prevailed yesterday although at just P62.7 million.
Traders said the market is anticipating more companies to report strong 2019 earnings results.
SM Prime Holdings, the Sy-owned property developer, for instance grew its net income 18 percent to P38.1 billion last year from P32.2 billion a year ago.
The company churned in consolidated revenue of P118.3 billion last year, up 14 percent from P104.1 billion in 2018.
On the other hand, Jollibee Foods Corp. saw its net income decline 14.4 percent to P6.3 billion last year.
More listed firms are expected to release their full-year financials in the coming days.
Moving forward, traders said that if foreign inflows continue, the market may see stronger days ahead.