Stocks trade higher on positive sentiment

MANILA, Philippines — The Philippine stock market stayed in fighting form yesterday amid the strong rally of its peers in Asia.

The benchmark Philippine Stock Exchange Composite index (PSEi) closed  at 6,345.41, up 106.59 points or 1.71 percent.

Likewise, the broader All Shares index rallied to 3,400.68,  48.21 points or 1.44 percent higher.

The sectoral gauges were mostly up, as well except for financials. Services and mining and oil led the gainers.

Total value turnover reached P7.46 billion and market breadth was positive, 121 to 70, while 47 issues were unchanged.

However, foreign selling still prevailed at P3.94 billion while foreign buying was at P3.78 billion, resulting in a net foreign selling of P157.91 million.

Traders said there was positive sentiment abroad that spilled over to the local bourse.

Joseph Roxas of Eagle Equities said yesterday’s session was a corrective rally, adding that more bargain hunting may follow in the coming days.

The index could hit 6,500 in the near term, he said.

Converge ICT led the active stocks roster, gaining 10.83 percent to P21.70 per share.

Asian shares were mostly higher yesterday  as markets cooled off following a rare winning week. Oil prices pushed higher and US futures also advanced.

Rising energy prices and Treasury bond yields were weighing on sentiment after last week’s rally, and investors were awaiting remarks expected for midweek by central bank leaders including Federal Reserve chair Jerome Powell and European Central Bank chief Christine Lagarde, analysts said.

Investors will get an update on US economic growth on Wednesday when the Commerce Department releases a report on first-quarter gross domestic product. US consumer confidence data is also on the agenda in a week that has few other major economic releases. So some investors have adopted a “wait and see” stance, said Jun Rong Yeap of IG.

Chinese shares have gotten a boost from the easing of pandemic restrictions as the country’s latest wave of outbreaks abates.