The local bourse was the top gainer in the region as shares staged a furious rally, buoyed by the better-than-expected July US consumer price index (CPI) report.
Overnight, US markets went up after the July inflation came better than expected at 8.5 percent from the 8.7 percent consensus, Philstocks Financial Research and Engagement Officer Claire Alviar said.
The Philippine Stock Exchange index (PSEi) closed at 6,680.68 up by 208.84 points or 3.23 percent which was strongest for the day in the region.
The headline US inflation for July came in at 8.5 percent, slightly cooler than the 8.7 percent expected by analysts surveyed by Dow Jones, raising the question of whether the inflation has hit its peak, Regina Capital Development Corp. managing director Luis Limlingan said.
The dollar’s strength may ease as well which would be favorable to most currencies, especially to the Philippine peso.
Rebound well on way
Signs of strong recovery of top conglomerates buoyed the market.
Cebu Air Inc. (CEB), operator of low-cost air carrier Cebu Pacific, managed to trim its second-quarter net losses to P1.9 billion from P6.5 billion a year ago despite a spike in fuel prices.
“Amid the risks posed by expensive jet fuel, peso depreciation and interest rate hikes, CEB remains cautiously optimistic that we can turn the tide soon as domestic demand looks robust and international borders continue to reopen,” CEB chief finance officer Mark Cezar said Thursday.
In a stock report, CEB reported that its total operating expenses during the first semester amounted to P16.8 billion, 86 percent higher year-on-year (YoY) despite a 323 percent increase in its flights.
Read more Daily Tribune stories at: https://tribune.net.ph/
Follow us on social media