Lower-than-expected inflation lifts PSEi
Investors were quick to take advantage of lower priced stocks on Tuesday, with the local bourse lighting up green after the rise in inflation turned out to be less than expected.
By the closing bell, the benchmark Philippine Stock Exchange Index (PSEi) had recovered by 1.39 percent or 83.51 points to end at 6,083.83.
Likewise, the broader All Shares Index added 0.8 percent or 29.27 points to close at 3,673.22.
A total of 2.37 billion shares worth P10.34 billion changed hands, stock exchange data showed.
Japhet Tantiangco, research head at Philstocks Financial Inc., said investors were mostly hunting for bargains. This, especially after the bourse nearly dipped below the 6,000 support level on Monday.
At the same time, the market priced in the “favorable” September inflation print of 1.7 percent.
Although this was a six-month high, it was lower than the 2-percent median estimate of analysts.
Tantiangco, also said that this gave the Bangko Sentral ng Pilipinas room to possibly cut rates further.
International Container Terminal Services Inc. was the top-traded stock as it gained 0.89 percent to close at P512.50 each. It was followed by Ayala Corp., up 1.42 percent to P484.40; Universal Robina Corp., up 5.23 percent to P74.50; BDO Unibank Inc., up 2.88 percent to P139.40; and
SM Investments Corp., up 0.41 percent to P735 each.
Gainers outnumbered losers, 97 to 92, while 60 companies closed flat, stock exchange data also showed.
