The local stock market continues to benefit from perceptions that future rate hikes will be less aggressive.
The PSEi jumped 74.53 points or 1.13 percent to close at 6,681.47 as the Mining and Oil counter surged with only the Property sector retreating. Volume rose to 729 million shares worth P8.68 billion as gainers beat losers 112 to 77 with 40 unchanged.
“Philippine shares close higher as the market continues to test previous resistance as the economic data remains encouraging,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He noted that, “A slew of U.S. economic data awaits investors to be digested this week, including Nov. Employment Change, third quarter GDP , Fed Chair Speech, Personal Income, ISM Manufacturing PMI reading, nonfarm payrolls, and unemployment rate. Back at home, the S&P Global Mfg. PMI and PPI for Oct are due on Dec 1 and Dec 2, respectively.”
“Note also that the MSCI rebalancing will take effect on Dec. 2,” Limlingan said.
Philstocks Financial Research Manager Japhet Tantiangco said “The local market continues with its bullish momentum as hopes of a slowdown in the Federal Reserve and the BSP’s monetary tightening continue to fuel optimism.”
He added that, “The Peso’s sustained position above the 57.00 per US Dollar level and the decline in global oil prices also gave sentiment a boost. Foreign funds also helped in the rally.”