Stock price index breaks losing streak on Trump’s currency comment

The local stock barometer firmed up for the first time in five days on Wednesday as US President-elect Donald Trump’s comments lamenting the strength of the US dollar lifted most markets in the region.

The Philippine Stock Exchange index (PSEi) gained 33.03 points or 0.46 percent to close at 7,156.36.

Elsewhere in the region, stocks markets mostly rose after Trump aired concern about the strong dollar, which investors deemed to be beneficial to emerging market equities.

While a weaker local currency could help emerging markets sell more goods overseas by having a more competitive pricing, a steadily declining local currency is bad for portfolio investors as this shrinks the value of their local investment once they repatriate their funds.

At the local market, the day’s gain was led by the services counter, which rose by 1.41 percent, while the financial, holding firm, mining/oil and property counters also gained.

Value turnover amounted to P4.98 billion. There were 86 advancers and 85 decliners while 55 stocks were unchanged.

Investors picked up shares of Metrobank, Bloomberry, JG Summit, DMCI and Meralco, which all rose by more than 2 percent.

On the other hand, SM Prime and Megaworld both gained more than 1 percent. GT Capital and Ayala Land also contributed gains.

Outside the PSEi, the notable gainers include Arthaland Corp., which surged by 9.33 percent.

On the other hand, URC and Jollibee both slipped by more than 1 percent while Ayala Corp., BDO, Globe Telecom and SM Investments also slipped.