MIXED RESULTS. Wait-and-see stance for US October 2022 inflation rate and the results of the midterm elections resulted in the flat close of the Philippines main stocks index on Tuesday (Nov. 8, 2022). However, the local currency gained against the US dollar. (PNA graphics)
MANILA – The local bourse’s main index ended Tuesday sideways ahead of the release of United States October 2022 inflation report and results of the midterm elections but the peso gained to a US dollar.
The Philippine Stock Exchange index (PSEi) declined slightly by 0.10 percent, or 6.48 points lower to 6,289.10 points.
All Shares slipped by 0.18 percent, or 5.82 points, to 3,307.75 points.
Most of the sectoral indices also ended the day in the negative territory, namely Mining and Oil, 2.30 percent; Industrial, 0.97 percent; Services, 0.71 percent; and Holding Firms, 0.35 percent.
On the other hand, Property rose by 1.37 percent and Financials by 0.31 percent.
Volume reached 310.11 million shares amounting to PHP4.93 billion.
Decliners led advancers at 100 to 76, while 38 shares were unchanged.
“Philippine shares closed flat as investors looked ahead to a packed week with Congressional midterm elections and key inflation data on deck over the next few days, and shrugged off a supply warning from Apple,” said Luis Limlingan, Regina Capital Development Corporation (RCDC) head of sales.
The midterm election and the inflation data are US figures.
Limlingan said results of US midterm polls “will determine which party controls Congress and steer future policy and spending.”
On the other hand, the local currency gained against the greenback after it finished the day at 58.275 from 58.58 on Monday.
It opened the day at 58.38 and traded between 58.45 and 58.1. The average level for the day stood at 58.292.
Volume reached USD954.9 million, higher than the previous day’s USD574.2 million.
Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort said the rise in the Philippines’ gross international reserves (GIR) last September helped buoy the local currency.
He said correction of the US dollar, as markets price in a 50 basis points increase in the Federal Reserve’s key rates in December, also benefited the peso.
He forecasts the local currency to trade between 58.10 to 58.40 on Wednesday. (PNA)
