Market up on expectation of BSP rate cut

The benchmark Philippine Stock Exchange Index (PSEi) managed to end the session with a slight gain as investors expect the Bangko Sentral ng Pilipinas to deliver another rate cut today to support growth.

From losses of up to 1.3 percent earlier on Wednesday, the PSEi ended trading at 7,896.24— a gain of 0.03 percent or 2.3 points. Trading volume was weaker, however, as over 600 million shares valued at P5.78 billion changed hands yesterday.

The performance of the PSEi bucked weak sentiments across the region.

Volatility in the market heightened amid political uncertainty in the United States after US lawmakers in the House announced the start of a formal impeachment inquiry against President Donald Trump. This also adds to uncertainties in an ongoing US-China trade war and global recession worries in 2020.

The gain in the PSEi was absent in the broader all shares index, which lost 0.02 percent on Wednesday.

The industrial subsector sank the most with a 1.44 percent drop. Holding firms and property gained 0.26 percent and 0.27 percent, respectively. A total of 145 shares fell while 59 rose and 48 closed unchanged.

Universal Robina Corp. was the most actively traded on Wednesday as it lost 4.46 percent to P158.60 per share.

It was followed by Ayala Corp., up 0.89 percent to P908, Ayala Land Inc., up 0.51 percent to P49.20, SM Prime Holdings, up 1.36 percent to P37.20, and Jollibee Food Corp., down 0.45 percent to P219 per share.