The local stock market surged on the back of gains in US share prices amid hopes of easing inflation.
The main index jumped 124.19 points or 1.85 percent to close at 6,833.53 with the Property sector leading the rally while the Mining and Oil counter lagged behind. Volume rose to 1.42 billion shares worth P7.68 billion as gainers beat losers 115 to 67 with 48 unchanged.
“Philippines rallied on bets that the Fed could slow down its rate hikes in light of tamer prices. All eyes are on December’s CPI reading, to be released Thursday, with the consensus forecast calling for a slight easing in price pressures,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He noted that, “Back home, investors digested recent signals from the BSP for a possible interest rate adjustment of up to 50bps and sustained hawkish commentaries form the Fed.”
Philstocks Financial Research and Engagement Officer Mikhail Plopenio said that, “After two straight days of decline, the local market bounced back, driven by the positive cues from Wall Street as investors expect lower inflation data in the US.“
He added that, “the foreign direct investment net inflows of the country last October 2022 was cheered by many as the uptick was the highest since April.”