PSEi soars to highest level in 8 months

The local stock barometer soared to its best level in eight months on Friday as the US presidential race neared its conclusion with Joe Biden solidifying his lead over reelectionist Donald Trump.

Tracking mostly upbeat US and regional markets, the main-share Philippine Stock Exchange index (PSEi) rose by 40.92 points or 0.62 percent to close at 6,685.69. This marked its best finish since March 6 or before the government locked down Metro Manila and other key regions to curb the coronavirus pandemic.

For the week, the PSEi advanced by a total of 436.3 points or 7 percent.

“It seems like positivity continues to reign supreme as the market now prices in a potential Biden presidency with another 2 percent gain for the US indices last night—with all three now trading back near their all-time highs,” local stock brokerage Papa Securities said.

Papa Securities said the optimism was spilling over to the PSEi, especially with foreign buying coming back to the market. The breakout past June’s peak of 6,583 would put the next resistance at the 6,879 level, it said.

“Investors in the Philippine market continued the buying momentum on hopes the winner of the US presidential election would soon be determined, with shares of major index names leading the gains,” said Luis Gerardo Limlingan, managing director at Regina Capital Development.

The local market was led higher by the services counter, which rose by 2.21 percent.

The mining/oil counter gained 1.75 percent, while the industrial, holding firm and property counters all rose by less than 1 percent.

Only the financial counter was stuck in the doldrums, having declined by 1 percent.

Value turnover for the day amounted to P10 billion. Foreign funds continued to flow into the market, resulting in P453.57 million in net foreign buying.

There were 109 advancers that edged out 92 decliners, while 57 stocks were unchanged.

Investors picked up shares of international port operator ­ICTSI, while GT Capital and JG Summit both rose by over 3 percent.

PLDT added nearly 3 percent while Ayala Land and Globe Telecom both climbed by over 2 percent.

Ayala Corp. and Jollibee both added over 1 percent.

One notable gainer outside the PSEi was third telco player Dito, which rose by 3.74 percent. It was the day’s most actively traded company.

—DORIS DUMLAO-ABADILLA