PSEi breaks through 6,300

Optimism at Wall Street spilled over to the local bourse on Wednesday as investors weighed the chances of another interest rate cut.

By the end of the session, the benchmark Philippine Stock Exchange Index (PSEi) had climbed by 0.56 percent or 35.24 points, to close at 6,325.09. It ultimately succeeded in its weeklong struggle to break the 6,300 barrier.

The broader All Shares Index likewise added 0.36 percent or 13.37 points to end at 3,764.64.

A total of 893.55 million shares worth P10.61 billion changed hands, stock exchange data showed.

Japhet Tantiangco, research head at Philstocks Financial Inc., said investors took positive cues from Wall Street after the United States’ inflation print was unchanged at 2.7 percent in July. This came below expectations and raised hopes that the Federal Reserve will cut rates during its next meeting, Tantiangco said.

The Bangko Sentral ng Pilipinas typically mirrors the move of the American central bank, although Governor Eli Remolona Jr. had expressed confidence in two more cuts this year.

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Joey Roxas, president of Eagle Equities Inc., also said traders were mainly waiting for quarterly reports, as this would remain the market’s main mover in the coming days.

Bank of the Philippine Islands was the most actively traded stock as it climbed 0.43 percent to P118 each, followed by International Container Terminal Services Inc., down 0.81 percent to P490; DigiPlus Interactive Corp., down 3.23 percent to P30; BDO Unibank Inc., up 3.98 percent to P143.80; and SM Investments Corp., up 1.14 percent to P799 each.