The benchmark Philippine Stock Exchange Index (PSEi) clawed back losses from the previous session with major telco stocks lifting the market despite lingering worries over the Omicron coronavirus variant.
The PSEi closed Thursday’s session up 1.41 percent, or 100.68 points, to 7,233.26 while the broader all-shares index gained 1.41 percent, or 53.52 points, to 3,836.11.
Index names such as Globe Telecom and PLDT Inc. rallied on Thursday after senators approved a bill allowing greater foreign ownership in telecommunications and transport companies.
Astro del Castillo, managing director of First Grade Finance Inc., said this raised prospects of more foreign investments in the Philippines, especially for the telco industry—a capital-intensive sector.
“Investors shook off the Omicron news after the slack yesterday and focused more on the news that the Public Serve Act amendment was approved,” he told the Inquirer. “This is more of a good vaccine to the market.”
Wall Street also advanced overnight, shrugging aside the US Fed’s announcement it would accelerate the winding down of asset purchases while signaling at least three interest rate hikes in 2022.
Meanwhile, all Philippine Stock Exchange subsectors closed higher, led by services’ 2.8-percent jump.
It was followed by industrial stocks, up 1.54 percent, followed by holding firms, up 1.27 percent.
Foreign buying
Financials gained 0.77 percent, while mining and oil and property added 0.76 percent and 0.55 percent, respectively.
A total of 2.91 billion shares valued at P87.5 billion changed hands, with foreign buying alone recording a net amount of P79.44 billion.
This was mainly due to the completion of JERA Asia Private Ltd.’s acquisition of 25-percent of Aboitiz Power Corp. on Thursday.
SM Prime Holdings Inc. was the most actively traded during the session, gaining 2.19 percent to P35 per share.
It was followed by PLDT Inc., up 5.11 percent to P1,810; Metropolitan Bank & Trust Co., up 4.99 percent to P52.60; Monde Nissin Corp., up 2.56 percent to P16; and Ayala Land Inc., down 1.53 percent to P35.30 per share.
Other active names were Globe Telecom, up 8.89 percent to P3,600; Jollibee Foods Corp., flat at P223; Manila Electric Co., up 2.21 percent to P305; SM Investments Corp., up 3.05 percent to P979; and Converge ICT Solutions Inc., up 0.49 percent to P30.90 per share.