The local stock market surged on expectations of another rate cut by the Monetary Board later this week.
The main index rallied by 129.90 points or 1.77 percent to close at 7,456.31 as the Property sector led the charge although Miners declined due to lower gold prices. Volume was higher at 553 million shares worth P6.37 billion as gainers beat losers 124 to 92 with 45 unchanged.
“Philippine shares made a strong comeback after yesterday's weak start, as investors start making bets ahead of the latest BSP meeting, while others assess the Fed's latest move,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
Philstocks Financial Research Manager Japhet Tantiangco also said “The local market rallied this Tuesday as investors continued to draw optimism from the expectations that the Bangko Sentral ng Pilipinas will deliver another policy rate cut in their upcoming meeting this week.”
He added that, “The positive cues from Wall Street’s record performance overnight also helped in Tuesday’s session.”