PSEi extends rebound

The Philippine bourse furthered its rally on Monday ahead of the inflation data release and as pandemic worries due to the Omicron variant "took the backseat" for a while.

The benchmark Philippine Stock Exchange index (PSEi) improved by 1.07 percent or 75.55 points to 7,130.74, while the wider All Shares climbed 0.58 percent or 21.89 points to close at 3,812.09.

Philstocks Financial Inc. senior research analyst Japhet Tantiangco said concerns on the Omicron variant "took the backseat for now" as investors focused instead on the improving local pandemic situation and its impact on the country's economic prospects.

The Philippines logged 543 additional Covid-19 cases on Monday, bringing the total to 2.835 million.

The Health Department on Monday also reported that the Philippines is now under the minimal risk case classification for Covid-19 infections. Meanwhile, Regina Capital Development Corp. Managing Director Luis Limlingan said the main index rose ahead of the release of the country's latest inflation data and as "the country remained free of any Omicron cases for now."

The market also returned to its pre-pandemic trading hours of 9:30 a.m. to 3 p.m. on Monday.

Despite the longer hours, net value turnover stood only at P5.7 billion, which is below the year-to-date average of P7.46 billion.

"This implies that many have stayed on the sidelines amid the lingering uncertainties," Tantiangco explained.

Foreign funds also exited the market as net outflows was at P269.52 million.

Most local sectors exhibited gains led by the services at 1.97 percent, while mining was the sole decliner at 1.31 percent. Total volume turnover was at 1.32 billion shares valued at P6.55 billion.

Winners marginally outpaced losers at 94 to 93, while 52 securities were unchanged.

Source: TheManila Times