PSEi climbs on strong regional markets

MANILA, Philippines — The local stock market managed to climb yesterday after last week’s bloodbath on strong regional markets.

The benchmark Philippine Stock Exchange Composite index (PSEi) finished at 7,071.50, up 25.67 points or 0.36 percent, while the broader All Shares gauge rose 8.96 points or 0.21 percent to finish at 4,250.65.

The sectoral indexes were mixed with financials, property and services all finishing in the green zone.

Total value turnover reached P9.114 billion. Market breadth was negative with 129 losers against 92 gainers, while 39 issues were unchanged.

Traders said prices still failed to breach the resistance levels of 7,100.

In other bourses across Asia, share prices climbed to near all-time highs yesterday as concerns over rising COVID-19 cases and delays in vaccine supplies were eclipsed by optimism of a $1.9 trillion fiscal stimulus plan to help revive the US economy.

Sentiment in the region was also boosted by a report that China had surpassed the US to be the largest recipient of foreign direct investment in 2020 with $163 billion in inflows.

“The FDI story has definitely lifted China and its near neighbors today, blowing an economic recovery tailwind into geographically adjacent markets,” said OANDA’s Singapore-based market analyst Jeffery Halley.

“Looking ahead, equities will find more meaningful reactions from the progress or not of the Biden stimulus package, and the level of dovishness displayed by the Federal Reserve at their FOMC meeting this week.”