GDP hopes pull PSEi above 7,400

The local bourse managed to reclaim the 7,400 level on Thursday as an optimistic outlook for the country’s gross domestic product energized investors.

By the end of the session, the benchmark Philippine Stock Exchange Index (PSEi) climbed by 1.31 percent, or 96.12 points, to close at 7,458.74.

Likewise, the broader All Shares Index added 0.98 percent, or 38.46 points, to 3,978.10.

A total of 1.18 billion shares worth P12.53 billion changed hands as foreigners made net purchases worth P4.79 billion, stock exchange data showed.

Luis Limlingan, head of sales at stock brokerage house Regina Capital Development Corp., said the market’s comeback was due to a decision of the Asian Development Bank (ADB) to maintain its economic growth forecast for the Philippines at 6 percent for this year and 2025.

“The ADB attributed this outlook to easing inflation and expected policy adjustments that could stimulate domestic demand,” Limlingan said.

The PSEi recently rallied and nearly broke its pandemic high after the Bangko Sentral ng Pilipinas eased its monetary policies, including its benchmark interest rate.

Banks registered the steepest climb on Thursday at 2.59 percent, buoyed by gains in Metropolitan Bank and Trust Co. (Metrobank), BDO Unibank Inc. and Bank of the Philippine Islands (BPI).

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Razon-led International Container Terminal Services Inc. was the most actively traded stock as it closed unchanged at P410 per share.

It was followed by Metrobank, up 2.24 percent to P82; Ayala Land Inc., down 0.91 percent to P38.05; Universal Robina Corp., down 0.19 percent to P104; and SM Investments Corp., flat at P995.

Ayala Corp. was up 1.52 percent to P703; BDO, up 1.52 percent to P167.10; DigiPlus Interactive Corp., up 7.83 percent to P21.20; BPI, up 4.55 percent to P138; and JG Summit Holdings Inc., up 3 percent to P27.50.

Gainers outnumbered losers, 111 to 80, while 61 companies closed unchanged.