PSEi nears 6,000, but fresh virus attack may cause retreat
The local stock barometer extended its gains for the third session on Wednesday, moving closer to the 6,000 barrier in line with the overnight equities rally in the United States.
The main-share Philippine Stock Exchange index (PSEi) racked up 165.17 points or 2.86 percent to close at 5,946.05.
Papa Securities noted that 6,000, however, showed a strong resistance that could lead to a major pause of the recent run-up.
Christopher Mangun, head of research at AAA Equities, said the general sentiment continued to improve as more and more stocks rallied sharply.
“There is some concern, however, that we may see a sharp increase in COVID-19 cases as the government begins mass testing. The main index is currently up more than 8 percent. We may see it retreat towards the end of the week as investors secure profits,” he said.
The PSEi was perked up by the financial and mining/oil counters, which both rose by over 4 percent, while the holding firm counter added 3.32 percent.
The services counter gained 1.03 percent while the industrial counter added 0.96 percent.
Value turnover for the day was heavy at P9.1 billion. Foreign investors continued to exit the market, resulting in a net foreign outflow of P1.36 billion.
There were 135 advancers that overwhelmed 66 decliners, while 40 stocks were unchanged.
Ty family-led conglomerate GT Capital led the PSEi higher with its 13.95-percent rally, while Gokongwei-led RLC surged by 12.73 percent.
Metro Pacific and SMC both jumped by over 7 percent, while Ayala Corp. added nearly 7 percent. AGI rose by 6.02 percent.
Metrobank went up by 5.79 percent while BDO also advanced by 5.85 percent.
ICTSI gained 4.45 percent and SM Prime, BPI, JG Summit and Security Bank all rose by over 3 percent. Jollibee added 1.43 percent.
Meanwhile, Puregold tumbled by 2.45 percent, while Globe Telecom declined by 1.08 percent.
SM Investments and URC both slipped. —DORIS DUMLAO-ABADILLA
