MANILA – The local stock barometer finished higher while the peso ended weaker against the United States dollar on Tuesday’s trading.
The Philippine Stock Exchange index (PSEi) gained 23.87 points, or 0.37 percent, ending the day at 6,564.90.
Philstocks Financial Inc. research assistant manager Claire Alviar said the local bourse gained along with Asian peers after China eased its coronavirus disease 2019 (Covid-19) restrictions, boosting the sentiment in Asia as this may increase the demand in the region.
“China announced that they will end quarantine for inbound travelers on January 8 next year, and downgraded Covid to a less strict Category B from A, symbolizing an end to its zero-Covid policy. Once China eases its restrictions, we expect their consumer demand to rise which would have a positive impact on our exports,” she said.
All shares also went up by 8.95 points to 3,441.42.
Four counters finished the day higher, led by Holding Firms gaining 57.55 points to 6,501.19.
This was followed by Property, up by 26.29 points to 2,902.63; Industrial, up by 4.38 points to 9,365.09; and Services, up by 1 point to 1,607.33 from last week’s trading.
Advancers outperformed decliners at 97 to 88, with 42 remaining unchanged.
Traded shares amounted to PHP2.89 billion.
Meanwhile, the Philippine peso ended the day weaker at 55.90 to a US dollar, lower by 0.75 from the Dec. 23 trading.
Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort considered Tuesday’s weakness of the local currency a “healthy technical correction” following the long Christmas holiday weekend and eventually tail-end of the holiday-related spending that came along with it.
However, Ricafort said there may still be another round of increased holiday-related spending, though by a lesser extent, in preparation for the long New Year holiday weekend.
The peso opened the day at 55.15 and traded between 55.15 and 55.93 within the day, bringing the average level at 55.39 to a dollar.
Total volume of peso-dollar trading reached USD813.27 million from Friday’s USD1.02 billion. (PNA)