FURTHER HIKES. Worries on the already strained US-China relations made investors turn to the local bourse on Wednesday (Aug. 3, 2022), resulting in another rise on the main index. However, the peso depreciated again to the greenback on indications for further hikes in the Federal Reserve’s funds rates. (PNA file photo)

MANILA – Bargain hunting again boosted the local stock barometer on Wednesday partly on worries on US-China relations following US House Speaker Nancy Pelosi’s visit to Taiwan, while the peso weakened against the greenback.
 
The Philippine Stock Exchange index (PSEi) rose by 1.07 percent, or 67.78 points, to 6,430.08 points.
 
All Shares trailed with a jump of 0.74 percent, or 25.24 points, to 3,436.83 points.
 
Half of the sectoral gauges also increased, led by Holding Firms, 2.06 percent, and was followed by Financials, 1.70 percent; and Industrial, 0.90 percent.
 
On the other hand, Mining and Oil slipped by 1.10 percent, Property by 0.23 percent, and Services by 0.04 percent.
 
Volume reached 502.37 million shares amounting to PHP6.52 billion.
 
Decliners surpassed advancers on a close range at 89 to 88, while 52 shares were unchanged.
 
“Philippines shares were bought up as investors turned away from the US as House Speaker Nancy Pelosi’s controversial visit to Taiwan would further strain already tense US-China relations,” said Luis Limlingan, Regina Capital Development Corporation (RCDC) head of sales.
 
He said statements from more Federal Reserve presidents that additional rate hikes are needed to counter the accelerating US inflation rate also resulted in the drop in US stocks, which also served as another reason for the appetite in the local bourse.
 
Oil prices in the international market rose ahead of the meeting of the Organization of the Petroleum Exporting Countries Plus (OPEC+), which consists of the 13 OPEC members and 10 non-members that are among the world’s major oil-exporting countries.
 
Limlingan said Brent crude oil futures inched up by 0.5 percent to USD110.54 per barrel and US West Texas Intermediate (WTI) by 0.6 percent to USD94.42 per barrel.
 
Meanwhile, the peso weakened anew against the US dollar after closing the day at 55.74 from Tuesday’s 55.435.
 
It opened the day at 55.55 and traded between 55.777 and 55.55. 
 
The average level for the day stood at 55.674.
 
Volume rose to USD922.1 million from USD777.17 million a day ago. (PNA)