Despite big foreign fund outflows, PSEi closes slightly up
The local stock barometer ended slightly higher on Monday, tracking regional markets which were mostly upbeat ahead of the closely watched US elections.
The main-share Philippine Stock Exchange index (PSEi) rose by 11.56 points or 0.18 percent to close at 6,335.56 despite a huge outflow of foreign funds from the market.
“The PSEi ended slightly higher after opening much lower as investors were quick to pick up battered shares. Gains in small and mid-cap blue chips covered losses from large-cap issues,” said Christopher Mangun, head of research at AAA Equities.
“Optimism may have been drawn from the limited damages caused by the recent supertyphoon, which was expected to be a major disaster, similar to what we saw a few years ago. The government was more prepared and able to manage risks which produced favorable results,” he said.
Mangun said the market might continue to move higher as investors gain more optimism of a strong economic rebound in the fourth quarter.
Meanwhile, the world is watching who America will elect as its President during the Nov. 3 polls.
Except for the property counter, all counters ended higher, led by the financial and industrial subindices, which both rose by over 1 percent.
Only the property counter ended sluggish, declining by 1.13 percent.
Total value turnover amounted to P6.6 billion. Domestic investors stabilized the market amid P1.14 billion worth of net foreign selling.
There were 125 advancers that edged out 80 decliners, whole 47 stocks were unchanged.
The PSEi was led higher by SM Investments and Jollibee, which both rose by over 2 percent, while BDO, BPI and URC all added over 1 percent.
GT Capital inched up by less than 1 percent.
Outside the PSEi, one notable gainer was Waterfront, which surged by 37.37 percent. The Gatchalian-led company won a legal battle against the Philippine Amusement and Gaming Corp. (Pagcor) that will allow it to build an integrated gaming resort in Pagcor Entertainment City.
On the other hand, SM Prime fell by 2.08 percent, while Ayala shed 1.7 percent. —DORIS DUMLAO-ABADILLA
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