PSEi firms up; no trading on July 6

THE LOCAL stock barometer firmed up on Monday as regional markets continued to trade with cautious optimism in the aftermath of the game-changing decision to execute “Brexit” or Britain’s exit from the European Union.

The main-share Philippine Stock Exchange index added 16.19 points or 0.21 percent to close at 7,846.54, tracking mostly higher regional markets ahead of a US holiday (Independence Day).

“We maintain that the environment remains supportive for a ‘bubble up’ rally in EM (emerging markets) Asia,” Citigroup said in a research note, adding that the drop in yields in developed market assets were proving durable and exerting a “gravitational pull” on EM yields.

However, it noted that indicators of economic activity in Asia remain mixed given what it describes as sluggish China purchasing managers’ index (PMI) and unimpressive Korean exports. “In this backdrop we thus hold a cautiously optimistic outlook for Asian markets,” it said.

At the local market, the upswing was led by the mining/oil counter which rose by 1.36 percent while only the industrial counter slipped.

Total value turnover for the day amounted to P7.55 billion. There were 103 advancers that slightly edged out 97 decliners while 40 stocks were unchanged.

The PSEi was led higher by SM Prime, which rose by 1.63 percent and was the most actively traded company at the stock market. MPI and Megaworld likewise both rose by over 1 percent.

On the other hand, BDO, BPI, AC and GTCAP all slightly gained.

The notable gainers outside the PSEi included NOW, which surged by 19.14 percent and was the third most actively traded company. Its shares have been rising on the back of the company’s shift towards the broadband business.

Retailer MRSGI gained 7.49 percent while Nickel Asia also surged by 9.54 percent.

Meanwhile, AP declined by 1.96 percent while URC, ALI, Globe and Jollibee all slipped.

Trading on gaming firm Philweb was suspended. The company voluntarily requested for a trading freeze until July 6, citing unverified information affecting the company.

Shares of online gaming firms have fallen in recent days following Pres. Duterte’s reported stance against online gaming.

Locally, there will be no stock trading on Wednesday (July 6) which Malacanang has declared as a non-working holiday in observance of Eid’l Fitr (Feast of Ramadhan)./rga

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