The local stock barometer firmed up Monday as regional markets continued to trade with cautious optimism in the aftermath of the game-changing decision of Great Britain to leave the European Union.
The main-share Philippine Stock Exchange index (PSEi) 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 (emerging markets) Asia,” Citigroup said in a research note, adding that the drop in yields in developed market assets was proving durable and exerting a “gravitational pull” on emerging market yields.
However, it noted that indicators of economic activity in Asia remained mixed given what it described 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 bourse, the upswing was led by the mining/oil counter, which rose 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 gained 1.63 percent and was the most actively traded company at the stock market. MPI and Megaworld likewise rose more than 1 percent.
Trading on gaming firm Philweb was suspended. The company voluntarily requested a trading freeze until July 6, citing unverified information affecting the company. Doris Dumlao-Abadilla