The local stock market ended the week on a positive note Friday, (July 2), breaching the psychological 7,000 resistance level, as investors continue to chew on upbeat labor and production data.
The Philippine Stock Exchange index (PSEi) added 38.25 points, or 0.55 percent, to close at 7,002.26 as the Services sector led the advance of all sub-indices.
Volume was lower though at 2.77 billion shares worth P5.85 billion as gainers edged out losers 108 to 100 with 36 unchanged.
“Philippine shares touched the 7,000 mark to end the week as positive sentiment spilled over to the region, bolstered by better-than-expected economic data and as energy stocks got a boost from crude oil hitting $75 a barrel,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that, “The country's economic managers said in a statement that the acceleration of the vaccination program should help solidify and accelerate the gains in employment made in May.”
Meanwhile in the US, Initial jobless claims fell to 364,000, which is better than the consensus forecast of 388,000.
Philstocks Financial Senior Supervisor for Research Japhet said “The local market closed higher on the back of optimism towards the local economy.”
He explained that “This comes as investors continued to digest the improvements in the Philippines’ May employment figures and June IHS Markit manufacturing PMI.”
“Investors were also cheered by the improvements in the Philippines’ COVID-19 situation with the country now classified as a low risk area by the Department of Health,” said Tantiangco.