Following a positive trading day on Tuesday, the local stock market ended the week on a high note as the US Federal Reserve’s decision to retain the five percent rate of the US Treasury yield relieves investors.

The main index grew by 15.49 points or 0.26 percent closing at 5,989.27 with all sectoral indices seeing gains, except for the financial sector.

Total volume of shares traded amounted to 301 million valued at P3.7 billion as gainers trump losers 106 to 59 with 49 unchanged.  

According to Philstocks Financial Assistant Research Manager Claire Alviar, “the local bourse gained following the positive cues from Wall Street amid the decline in the US’ long-term treasury yields.”

“At home, the expectation that the October inflation rate would be lower than September’s figure also boosted the sentiment,” she added.

However, Alviar notes that despite the gains, “market participation remained weak, preventing the market from breaching the 6,000 level.”

China Bank Capital Corp. Managing Director Juan Paolo E. Colet echoed a similar sentiment, saying that “the local index started the month in positive territory in line with other Asian equity markets on the back of US Federal Reserve Chairman Jerome Powell’s remarks that were seen as less hawkish than expected.”

“The morning session’s large gain, however, dissipated throughout the day and the index failed to close above the critical 6,000 resistance in a sign of continuing caution ahead of US and Philippine economic data releases today until next week,” he added.

Meanwhile, Regina Capital Development Corporation Managing Director Luis Limlingan agreed that a “pull-back in the US treasury yields boosted the market activity.”

He noted that traders are also anticipating the release of US’ October jobs reports, and are looking towards a steady unemployment rate of 3.8 percent in the US.