Stocks advance to fresh 3-month high

MANILA, Philippines — Share prices advanced for the third straight day to end at a fresh three-month high yesterday as investors cheered the passage of the national budget for next year on time.

The Philippine Stock Exchange index or PSEi rose by a whopping 2.71 percent or 165.88 points to finish at 6,278.59.

Likewise, the broader All Shares gauge closed strong, rising by 79.59 points or 2.16 percent to end at 3,760.85.

Total value turnover reached a sizable P10.522 billion. Market breadth was positive with 163 gainers to 49 losers, while 39 issues were unchanged.

“The PSEi gained for the third straight day, up by 165.88 points or 2.7 percent to close at 6,278.59, a new three-month high since July 9, 2020,” said Michael Ricafort of RCBC.

Since the start of the week, the PSEi has gained a total of 380.12 points or 6.4 percent.

“The main factor for the PSEi rally so far this week has been the approval of the 2021 national budget by the House of Representatives on third and final reading as scheduled,” Ricafort said.

Other local factors that supported further gains in the PSEi, as well as economic recovery prospects and valuations, include the latest decline in new COVID-19 cases locally to 1,640 on Oct. 20, which was lower than the usual 2,000 to 3,000 range recently.

The easing of quarantine restrictions also encouraged investors to return to the market, Ricafort said.