Positive momentum pushes index higher

The local bourse on Wednesday inched up by 30.62 points, or 0.0.31 percent, to close at 6,687.71 on a favorable growth outlook.

Sectoral indices were mixed, with Mining and OIl gaining the most by 4.27 percent, followed by Holding Firms, up by 1.14 percent, and Industrial by 0.43 percent.

Sentiment was further lifted as some institutions maintained their economic growth projections for the Philippines at around 6 percent, despite a slight downward revision by the ASEAN+3 Macroeconomic Research Office.

Property and Banks lost the most, dropping by 0.34 percent and 0.31 percent, respectively.

The Service index was also in the red down by 0.22 percent.

Philstocks Financial, Inc. Research Analyst Claire T. Alviar Mitchell linked the PSEi gains to positive cues from Wall Street overnight, amid optimism towards Q2 corporate results and rate-cut hopes soon by the Federal Reserve.

6% projection maintained

“Sentiment was further lifted as some institutions maintained their economic growth projections for the Philippines at around 6 percent, despite a slight downward revision by the ASEAN+3 Macroeconomic Research Office,” she said in a Viber message.

Meanwhile, Rizal Commercial Banking Corp. chief economist Michael Ricafort said the Wednesday gains are among the 3.5-month highs of the index since April 30, 2024.

He said a crucial factor that bolstered the recent gains in the local stock market is the improving trend in local interest rate yields, which he said supported market sentiment as this could reduce the borrowing costs of listed companies. The peso closed at P58.29 from a dollar.