Sales and sails: Confidence returns to insipid stock market
The local stock barometer rallied back to the 6,000 mark on Monday as the additional easing of quarantine measures across the country brightened up prospects for domestic economic recovery.
The main-share Philippine Stock Exchange index (PSEi) racked up 120.79 points or 2.05 percent to close at 6,019.26, tracking mostly upbeat regional markets.
“The PSEi started the week with a substantial rally as investors get a boost of confidence from the easing of restrictive quarantine measures. Concerns of a plateau in the pace of the economy’s recovery have been diminished by the recent developments,” said Christopher Mangun, head of research at AAA Equities.
For instance, blue chip mall operators Ayala Land and SM Prime have been given the go signal to conduct sales and other marketing activities to increase foot traffic, Mangun noted.
The analyst said the PSEi could continue higher toward its next resistance of 6,165 before the end of the week.
All counters ended higher, led by the mining/oil counter and holding firms, which rose by 4.3 percent and 3.03 percent, respectively.
Value turnover for the day amounted to P5.44 billion. Domestic hands supported the PSEi’s rise, making up for the P614.5 million worth of net foreign selling.
There were 125 advancers that edged out 76 decliners, while 46 stocks were unchanged.
Outside the PSEi, PXP remained a hot stock for the second day in a row, surging by another 50 percent since President Duterte allowed the lifting of moratorium on exploration in disputed territories.
Another notable gainer was Phoenix, which surged by 34 percent in relatively heavy trade. The group’s entry as an investor in the Malampaya geothermal project is also seen to benefit from renewed investor interest on the exploration activities.—DORIS DUMLAO-ABADILLA INQ
