PSEi extends winning streak
The local stock barometer extended its winning streak to the third consecutive session on Thursday after the US Federal Reserve cut rates for the first time this year, yet another positive signal for markets across the globe.
By the closing bell, the benchmark Philippine Stock Exchange Index (PSEi) had added 22.96 points to end at 6,233.62, a three-week high.
Likewise, the broader All Shares Index climbed by 5.84 points to 3,734.45.
A total of 2.1 billion shares worth P6.87 billion changed hands, stock exchange data showed.
The index’s gain came after the American central bank cut the key US interest rate by 25 basis points early in the day, said Michael Ricafort, chief economist at Rizal Commercial Banking Corp.
This sends a generally positive signal to global markets, including the Philippines, whose own Bangko Sentral ng Pilipinas often mirrors the Fed’s move.
As a result, banks emerged as one of the top gainers of the local bourse, since interest rate cuts may lead to higher loan demand due to lower borrowing costs for consumers.
The country’s top three banks all booked gains: BDO Unibank Inc. climbed by 0.7 percent to close at P144 each; Bank of the Philippine Islands by 1.79 percent to P114; and Metropolitan Bank and Trust Co. by 0.29 percent to P68.85 per share.
International Container Terminal Services Inc. was the most actively traded stock as it closed flat at P507 each.
Gainers overtook losers, 89 to 88, while 66 companies closed flat, stock exchange data also showed.
