Local share prices rallied due to favorable developments at home and overseas.
The PSEi surged 214.26 points or 3.23 percent to close at 6,841.69 as share prices rose across the board with the Property and Holding Firms counters leading the charge.
A hefty 1.9 billion shares worth P9.51 billion changed hands as gainers overwhelmed losers 153 to 52 with 49 unchanged.
“Investors focused on buying into the Philippine market as optimism about the US economic recovery was overshadowed by its inflation concerns,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that, “Others continued to assess the impact of the latest quarantine of GCQ with heightened restrictions for NCR+.”
Philstocks Financial Research Associate Claire Alviar said “The main index jumped amid positive sentiment from the passage of Bayanihan III in the House of Representatives while digesting the laxer quarantine measures.”
She noted that the more relaxed ockdown measures is spurring optimism since residents in Greater Manila can now travel to some tourist destinations while dine-in and alfresco services of restaurants have increased capacity.
“Also, the Philippine manufacturing PMI shows an improvement in May compared to the figure in April which may continue if the government reopens more businesses in the coming months,” said Alviar.
AAA Equities Head of Research Chris said “The market proved its strength as it ended with substantial gains, led by the premium blue chips, …as investors look for opportunities in these blue chips that have been battered for months.”
“We expected more downside as inventors were taking profits from last week’s rally, which was what we have been seeing in the last few trading days. The lack of selling pressure in today’s session, was a clear sign that most investors were willing to hold on longer instead of locking in their profits. This drew buyers back into the market which ultimately pushed prices a lot higher,” he said.