Hunt for bargains drive second session of PSEi rally
Manila, Philippines – Conglomerates and banking shares led Monday’s gains to lift the bellwether main index to its second straight session in the green, as investors scooped up bargains after last week’s beating.
The Philippine Stock Exchange index (PSEi) added 0.78 percent, or 49.02 points, to end trade at 6,352.74, extending Friday’s rebound that interrupted three consecutive sessions in the red.
All counters were up, save for mining and oil stocks, which bled a quarter-of-a-percentage point. Propping up the index were holding firms – led by SM which rose by 2.14 percent, but Ayala Corp. lost 0.67 percent. Lenders’ performance was a mixed bag - BPI gained 3.20 percent, but BDO shed 0.73 percent.
“The PSEi upped this Monday back a little above the 6,350 mark, driven by investors seeking cheaper price together with continued vigilance as investors remain alert to the global trade developments as negotiations between US and PH regarding tariffs will commence this week,” Regina Capital managing director Luis Limlingan said in a note.
President Ferdinand Marcos, Jr. - with his top diplomats, defense officials and trade negotiators in tow - is in Washington for a dialogue with US President Donald Trump over tariff and a review of defense deals.
“Further advancements on stock prices could be taken once negotiations and ongoing earnings season sentiments kick in,” the stock analyst said.
Investor worries over tariffs and trade policy, complicated by uncertainty over the US Federal Reserve’s easing cycle, sank property and banking stocks last week. Proposed regulations over online gambling, meanwhile, continued to torpedo gaming shares.
Online gaming company DigiPlus Interactive Corp. told the stock exchange on Monday that it successfully redeemed more shares at a cheaper price, but the stock lost 11.5 percent more at the week’s start.
