Stocks surge on favorable US jobs data

Local stocks rallied strongly Monday as optimism over the latest US jobs data perked up regional markets.

The main-share Philippine Stock Exchange index (PSEi) racked up 93.75 points or 1.21 percent to close at 7,865.27. Upbeat foreign investors continued to bring more liquidity to the local bourse.

The gains were led by the property counter, which jumped 2.43 percent, while holding firms also advanced by 1.18 percent.  The financial, industrial and services firms also inched up.

The mining/oil counter ended slightly lower, reflecting a more challenging regulatory environment for the sector.

Value turnover for the day amounted to P8.14 billion. Foreign investors were still in a net buying position amounting to P808 million.

There were 131 advancers that edged out 73 decliners while 43 stocks were unchanged.

Megaworld led the PSEi higher with its 4.3-percent rise while SM Prime, Ayala Land, Metro Pacific Investments, BDO and Jollibee all surged more than 2 percent. SM Investments Corp., JG Summit, Robinsons Land, Aboitiz Equity Ventures and GT Capital all gained more than 1 percent. URC, Globe, Ayala Corp. and Aboitiz Power also firmed up.

Outside of the PSEi, the notable gainers included Alterra Capital Partners, which surged by 42.11 percent.

Across the region, investors drew optimism from the favorable US jobs data for the month of June. Payroll growth popped up to 287,000 in June—a “big payback” from prior weak reports, investment house BofA Merrill Lynch said. The three-month trend of job creation was now at 147,000.  Doris Dumlao-Abadilla