The Philippine stock market rose as investors returned to the market with the start of vaccination for essential workers whle recent economic data was not as bad as expected.
The main index jumped 92.82 points or 1.36 percent to close at 6,902.54 as share prices rose across the board led by the strength of the Property sector.
Volume was higher at 2.02 billion shares worth P7.58 billion as gainers were more than double the number of losers at 138 to 61 with 52 unchanged.
“Local shares traded closer to the 7,000 level as investors returned back to the Philippines, while remaining on a wait-and-see mode ahead of the release of the U.S. inflation data,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that, “A firmer greenback and lower Treasury yields weighed on sentiment as well. Investors are also looking at how the inflation report would influence the U.S. Fed's next move.”
Philstocks Financial Senior Analyst Japhet Tantiangco said “The local bourse rose on the back of optimism stemming from the developments in the Philippines’ COVID-19 vaccination program.”
He noted that, “This includes the start of the vaccination drive for our economic frontliners, as well as the progress on our vaccine procurement.”
AAA Equities Head of Research Chris said “The market rallied higher after trade data and manufacturing output for the month of April was released.”
He explained that, “The data shows what we already knew, the tighter restrictions halted the economy's strong recovery, however, the decline was not as significant as most expected it to be, which is why we are seeing some optimism from investors.”
Mangun also said that, “With the pace of vaccination and the election, (which always boosts the economy due to higher spending), just right around the corner, there is no doubt the economy will resume its strong recovery.”