PSEi benefits from growing market confidence in the economy
The Philippine Stock Exchange’s benchmark index (PSEi) ended higher on Wednesday as investors placed early bets ahead of the upcoming third-quarter earnings season.
The PSEi extended its recent gains and ended the session up 0.42%, or 30.77 points, at 7,297.08 while the broader all-equity index closed up 0.33%, or 14.84 points, at 4,466.24.
The PSEi has held above the 7,000 key, indicating growing optimism over the prospect of new business openings and increased consumer spending as the season approaches. Christmas loaded.
This happened despite a warning from a think tank that overseas remittances, one of the main drivers of consumer spending in the Philippines, were slowing.
Pantheon Macroeconomics senior economist for Asia, Miguel Chanco, said in a report that the increase in remittances last June was ad hoc “largely due to Filipinos overseas transferring more money. ‘money than usual, to take advantage of the peso sale from June to July’.
The report also noted that the number of Filipino workers overseas has been declining for the past five years and further reduced by the COVID-19 pandemic.
The performance of the PSE sub-sectors posted gains for holding companies, industrials, real estate and services, while mining, petroleum and financials declined.
A total of 1.34 billion shares valued at 9.44 billion pesos changed hands on Wednesday as foreigners were net sellers to the tune of 31.57 million.
There were 106 winners versus 80 losers, while 52 companies closed unchanged.
World Nissin Corp. was most actively traded on Wednesday, gaining 5.97% to P32.85 per share.
It was followed by DMCI Holdings, down 3.63% to P8.77; Converge ICT Solutions Inc., Up 5.97% to P32.85; AC Energy Corp., unchanged at P11.88; and International Container Terminal Services, down 2.78% to P175 per share.
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