Market rallies as investors cheer easing of lockdown protocols
The local stock barometer rallied to the 6,100 mark on Tuesday as investors welcomed the easing of pandemic-induced lockdown protocols.
The main-share Philippine Stock Exchange index (PSEi) racked up 93.45 points or 1.55 percent to close at 6,112.71, rising for the second straight session.
Joseph Roxas, president of Eagle Equities, said the market might have bottomed out in the middle of October as investors looked forward to economic recovery with the easing of more lockdown measures.
Thus, even if the country were to remain under quarantine for the remainder of the year, businesses are expected to pick up.
The day’s gains were led by the financial, industrial, holding firm and property counters, which all went up by over 1 percent.
The services counter also inched up slightly.
On the other hand, the mining/oil counter pulled back by 4.6 percent after its recent outperformance on the back of news that the government had lifted the six-year moratorium on oil exploration in disputed territories.
Value turnover for the day rose to P8.22 billion. Domestic investors fueled the rally as foreigners remained net sellers to the tune of P718 million.
There were 112 advancers that edged out 98 decliners, while 46 stocks were unchanged.
Investors picked up shares of fast-food giant Jollibee, which rallied by 9.31 percent. This food retailing company is seen to benefit from the reopening of the domestic economy.
GT Capital also advanced by 6.11 percent, while Ayala Land gained 5.03 percent.
BPI rose by 3.14 percent while BDO and JG Summit both gained over 2 percent.
Conglomerate SM Investments, which largely relies on the consumer-driven economy, added 1.79 percent.
PLDT added 1 percent while Globe Telecom and URC both rose by less than 1 percent.
ICTSI, SM Prime and Ayala Corp. all declined by less than 1 percent.
Outside the PSEi, recent oil exploration plays fixed out as PXP pulled back by 11.23 percent. Apex Mining also fell by 10.89 percent.
Telecom plays sparked by the stock market debut of Converge ICT also waned. Now Corp. declined by 8.41 percent, while
Dito Telecom lost 2.08 percent. Retailer MerryMart slid by 6.8 percent. —DORIS DUMLAO-ABADILLA INQ
