PSEi rises above 6,100 on easing US-Iran conflict
MANILA, Philippines – Local stocks extended their gains on Monday as easing tensions in the Middle East buoyed investor sentiment, although many investors stayed on the sidelines amid lingering uncertainty in the region.
The benchmark Philippine Stock Exchange index (PSEi) climbed 1.01 percent, or 61.17 points, to close at 6,133.41.
READ: US, Iran agree to pause attacks, meet in Qatar – US media
According to Philstocks Financial Inc., the market drew support after the United States and Iran agreed to halt military exchanges and resume negotiations following heightened tensions over the weekend.
Meanwhile, Luis Limlingan, head of sales at Regina Capital Development Corp., said the PSEi closed higher as sentiment improved following fresh initial public offering developments.
Brighter outlook
“Investors showed renewed optimism as they monitored new market opportunities and corporate activities. Trading remained focused on catalysts that could support further market momentum,” Limlingan said.
However, net value turnover reached only P4.36 billion, reflecting tepid trading during the session.
Foreign investors, meanwhile, supported the local bourse, ending the day as net buyers with inflows totaling P311.20 million.
Among the sectoral indices, banks led the rally, climbing 1.85 percent on renewed risk appetite. Mining and oil stocks, meanwhile, underperformed the broader market, falling 1.53 percent.
At the company level, Globe Telecom Inc. emerged as the day’s top index gainer after its shares surged 6.94 percent to P1,925 apiece.
The rally came as investors continued to digest plans by GCash parent Mynt Inc. to pursue what could become the country’s biggest initial public offering.
READ: GCash files for IPO, targets Q4 debut
Meanwhile, Semirara Mining and Power Corp. was the session’s biggest index decliner, with its shares falling 3.96 percent to P23.05 apiece.
Looking ahead, analysts said the local market may continue to track geopolitical developments in the Middle East, with investors likely to remain cautious until the situation becomes clearer./pai INQ
