PSEi leads gains in emerging Asia

MANILA, Philippines — The Philippines led gains among emerging Asian stock markets yesterday after an upbeat jobs report, while optimism around further coronavirus vaccine developments supported hopes of an economic recovery.

Other emerging currencies and stocks benefited from investors shunning the US dollar in favor of riskier assets as Britain aimed to start vaccinating citizens next week, while investors weighed possibilities for more US stimulus.

The Philippine Stock Exchange index or PSEi surged for the third straight session after data showed the country’s unemployment rate in October eased further from a record-high hit in April, as coronavirus curbs were gradually lifted.

“It’s good. Indeed, markets are reacting to the improving unemployment numbers,” said Ruben Carlo Asuncion, chief economist at the Union Bank of the Philippines.

“Overall, the prospects are good and positive,” Asuncion said, though he flagged “cautious optimism” in the absence of a vaccine in the country and concerns about new infections.

The PSEi closed at 7,194.13, up 113.51 points or 1.6 percent while the broader All Shares gauge gained 51.16 points or 1.21 percent to finish at 4,273.25.

Traders said market investors are still hunting for bargains, maximizing opportunities following good prices in recent days.