PSEi gains 0.21% as likely signing of US-China deal boosts investor confidence

The local stock barometer gained slightly on Tuesday ahead of the signing of the first phase of the much-awaited US-China trade deal.

The main-share Philippine Stock Exchange index (PSEi) added 16.48 points or 0.21 percent to close at 7,793.25.

Apart from the scheduled Jan. 15 signing of the US-China deal, Chris Mangun, AAA Equities head of research, said the general sentiment was also boosted by news that White House no longer labeled China as a currency manipulator.

The market opened lower but recovered later in the session.

“The increase in trading volumes and the foreign inflows helped push the market higher. It is still trading within the range of 7,700 and 7,900. If we see it sustain this momentum, it may end the week above this range which will greatly improve the general sentiment,” Mangun said.

There was a modest net foreign buying of P157 million for the day.

The market was buoyed by the industrial and services counters, which both gained over 1 percent.

The financial counter also firmed up.

On the other hand, the mining/oil and property counters dropped by over 1 percent, while the holding firm counter slightly dipped.

Value turnover for the day amounted to P9.88 billion.

There were 111 decliners that edged out 83 advancers, while 54 stocks were unchanged.

The PSEi was lifted most by Gokongwei-led industrial powerhouse URC, which gained 6.49 percent.

Megaworld, Globe Telecom and Security Bank all added over 3 percent, while PLDT and Jollibee both racked up over 2 percent.

BDO, ICTSI, GT Capital and Metro Pacific all added over 1 percent. BPI also gained.

On the other hand, DMCI fell by 4.81 percent following tirades from President Duterte, while SM Prime Holdings declined by 2.26 percent.

Ayala Land and Metrobank both lost over 1 percent, while Ayala Corp., SM Investments and JG Summit all slipped. INQ