PSEi hits new year high

The local stock barometer set a new peak for the year Friday after a surprise cut in the European Central Bank’s key rate while local inflation for August was softer than market consensus.

Resuming its upswing after a one-day pause, the Philippine Stock Exchange index (PSEi) surged 59.47 points or 0.83 percent to close at 7,263.58. The index closed near the intraday high of 7,264.87.

For the week, the PSEi gained a total of 212.69 points or 3 percent.

The day’s rebound was led by the holding firm and property counters, which both rose more than 1 percent.

Value turnover for the day amounted to P11.4 billion.

Foreign investors were in a net foreign buying position amounting to P110 million.

There were 111 advancers, beating 67 decliners, while 49 stocks were unchanged.

The PSEi was led higher by Alliance Global Group Inc. (+4.67 percent) alongside Ayala Land, JG Summit and Bloomberry, which all advanced by more than 3 percent.

URC and EDC rose by over 1 percent while BPI, SM Prime, SM Investments, ICTSI and Metrobank all contributed gains.

Outside of the main index, Nickel Asia (+4.73 percent), D&L (+1.87 percent) and Security Bank (+1.52 percent) rose in heavy volume.

Nickel Asia’s share price has been rising in the last few days as Sen. Bam Aquino filed a bill seeking to ban the export of mineral ore, a policy similar to that adopted by Indonesia. This means mining firms may have to invest in processing plants so that the country can unlock more value from its mineral resources. News about this proposal benefited Nickel Asia, which already owns two nickel processing plants. Doris C. Dumlao