PSEi gets push from declining virus cases, Fed promise

The benchmark Philippine Stock Exchange Index (PSEi) gained on Wednesday on optimism that local COVID-19 infections would continue to decline and after Wall Street extended gains overnight.

By the closing bell on Wednesday, the PSEi rose 0.7 percent, or 48 points, to 6,918.41 while the broader all-shares index climbed 0.5 percent, or 20.69 points, to 4,203.59.

The Department of Health reported 3,666 new COVID-19 cases on Tuesday, lower than the previous two days, although over a dozen labs were unable to submit results.

US stocks also gained after Federal Reserve chair Jay Powell said during a Congressional hearing they would continue to support economic growth and reiterated statements that rising inflation was transitory.

According to US media reports, Powell said “the Fed will do everything we can to support the economy for as long as it takes to complete the recovery,” thus calming concerns over the timing of interest rate hikes.

All PSE subsectors ended in positive territory, with property, services and mining and oil gaining the most.

A total of 4.19 billion shares valued at P6.1 billion changed hands on Wednesday. There were 116 gainers versus 94 decliners, while 52 companies ended unchanged.

BDO Unibank Inc. was the most actively traded during the session as it slid lower by 0.26 percent to P114.10 per share.

It was followed by International Container Terminal Services Inc., up 2.81 percent to P161; PLDT Inc., down 1.24 percent to P1,274; Ayala Land Inc., up 2.85 percent to P37.90 and Ever-Gotesco Resources and Holdings Inc., up 10.87 percent to P0.51 per share.

Other actively traded companies were Monde Nissin Corp., up 1.1 percent to P14.74; SM Prime Holdings Inc., up 1.36 percent to P37.15; SM Investments Corp., unchanged at P1,000; Swift Foods Inc., up 1.2 percent to P0.168 and AC Energy Corp., unchanged at 8.50 per share.