RISK-ON. The local bourse's main index gained anew on Wednesday (May 10, 2023) as investors continue to assess the positive earnings report of companies for the first three months this year. This performance helped lift the local currency during the day. (PNA graphics)
MANILA – The local equities market’s main index rose anew on Wednesday as investors continue to digest positive earnings reports of listed firms for the first quarter of the year while the peso ended the day sideways against the United States dollar.
The Philippine Stock Exchange index (PSEi) increased by 0.54 percent, or 35.98 points, to 6,658.59 points.
All Shares followed with a jump of 0.39 percent, or 13.77 points, to 3,546.10 points.
Most of the sectoral indices also gained during the day, led by Holding Firms, which inched up by 1.19 percent.
It was trailed by Services, 0.44 percent; Financials, 0.38 percent; Property, 0.20 percent; and Industrial, 0.08 percent.
Only the Mining and Oil index ended the day in the negative territory after it slipped by 0.77 percent.
Volume totaled 721.31 million shares amounting to PHP4.64 billion.
Decliners led advancers at 105 to 73, while 57 shares were unchanged.
“The local shares continued to rebound from the prior Monday meltdown as investors digest more 1Q23 (first quarter 2023) earnings report,” said Luis Limlingan, Regina Capital Development Corporation (RCDC) head of sales.
Limlingan said oil prices climbed anew “as the markets weighed the US government’s plans to refill its emergency oil reserve.”
Brent crude oil futures rose by 0.3 percent and the West Texas Intermediate (WTI) by 0.5 percent, he said.
However, the peso ended sideways against the US dollar at 55.67 from 55.76 a day ago.
It started the day at 55.72, weaker than its 55.45 opening in the previous session.
It traded between 55.88 and 55.67, resulting in an average of 55.77.
Volume went down to USD1.41 billion from Tuesday’s USD1.66 billion.
Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort said the peso corrected against the greenback partly on stronger net foreign direct investments (FDIs) to the Philippines last February to USD1.05 billion, up by 13 percent year-on-year.
He said the latest FDI figure is among the highest since the pandemic hit in 2020 and attributed this development to, among others, the reopening of the economy.
He added gains in the local stock market also lifted the peso.
For Thursday, the local currency is expected to trade between 55.60 to 55.80 to a US dollar. (PNA)
