PHILIPPINE SHARES climbed further on Thursday, pushing the main index past the 6,100 mark, as renewed optimism over the country’s economic prospects supported buying activity.
The Philippine Stock Exchange index (PSEi) rose by 0.93% or 56.46 points to close at 6,125.72, while the broader all shares index went up by 0.54% or 18.25 points to end at 3,343.03.
“The local market rose as investors digested World Bank’s upgrade of the Philippine economy’s income status from lower middle to upper middle. The local market also gained support from the slight improvement of the S&P Global Philippines’ Manufacturing Purchasing Managers’ Index (PMI) from 50.8 to 50.9,” Philstocks Financial, Inc. Research Manager Japhet Louis O. Tantiangco said in a Viber message.
“The local bourse ended higher, with buying interest remaining intact for two consecutive days. Market sentiment remained upbeat following news of an improved manufacturing PMI for June. The positive macro signal supported risk appetite and sustained demand for equities,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan likewise said in a Viber message.
Philippine factory activity continued to grow in June, supported by stronger production and an increase in new orders, S&P Global said on Wednesday. The S&P Global Philippines Manufacturing PMI edged up to 50.9 in June from 50.8 in May, marking the second straight month of modest improvement in operating conditions for the country’s manufacturing sector.
Meanwhile, the Philippines is now classified as an upper-middle income country (UMIC) by the World Bank, reflecting the economy’s broad-based expansion.
The World Bank’s latest country income classification showed the Philippines posted a record gross national income (GNI) per capita of $4,850. This was higher than the GNI per capita of $4,470 last year, when the Philippines narrowly missed the UMIC threshold by $26.
Majority of sectoral indices closed higher on Thursday. Mining and oil jumped by 2.45% or 334.35 points to 13,979.56; services increased by 1.16% or 37.31 points to 3,247.96; financials went up by 0.93% or 17.43 points to 1,885.46; holding firms climbed by 0.82% or 35.36 points to 4,349.2; and property rose by 0.79% or 14.85 points to 1,872.78.
Industrials dropped by 0.11% or 9.29 points to 8,389.03.
Advancers beat decliners, 98 to 87, while 47 names were unchanged.
“Jollibee Foods Corp. was the top index gainer for the day, rising 6.29% to P148.80. Aboitiz Equity Ventures, Inc. was the main index laggard, falling 2.39% to P32.70,” Mr. Tantiangco said.
Value turnover went up to P5.52 billion on Thursday with 2.06 billion shares traded from the P4.63 billion with 544.05 million issues that changed hands on Wednesday.
Net foreign selling increased to P199.83 million from P79.59 million in the previous session. — Alexandria Grace C. Magno
