Although the local stock market didn’t perform aggressively during the first trading day of the year, the index still managed to clamber to a new record as the United States Congress approved a deal to avoid the dreaded “financial cliff.”

“Local market headed for another hit after the US senate approved the US fiscal budget to avoid fiscal cliff,” said Freya Natividad, analyst at the online brokerage 2TradeAsia.com.

She also said that although the market breached another all-time high, momentum for the week started soft after trading paused for a long weekend to welcome the New Year.

Harry Liu, president of Summit Securities Inc., agreed with the analysis of Natividad, saying that the market “opened quite positive in a sense but not very attractive.”

“US fiscal cliff has been properly addressed, and other markets in the world took a cue from the region, including the Philippines,” he said.

Liu added that the upward trend may continue in the next few days unless some problems in the European market, the second major regional market in the world, occur.

The Philippine Stock Exchange index (PSEi) started the year on a positive note, rising 0.83 percent, or 48.26 points to close at a new record of 5,860.99, surpassing the December 26, 2012 record close of 5,832.83. As of the end of 2012, the PSEi set 38 new records. The closing high on Wednesday marks the first time the PSEi set a new all-time high for 2013.

“World markets have cheered the photo finish resolution of the fiscal cliff in the US. We’re off to a good start in 2013,” PSE President and Chief Executive Officer Hans Sicat said.

”In 2013, we will once again be challenged to become better and to push the market to even greater heights,” he added.

Meanwhile, the broader all-shares index also ended in the green, climbing 0.75 percent, or 27.81 points to 3,726.79. All the sub-indices were also buoyant with holding firms surging by 1.33 percent, or 68.68 points to 5,219.44, followed by services which was up 1.27 percent, or 21.87 points to close at 1,746.52.

Mining and oil, on the other hand, went up by 1 percent, or 193.93 points to 19,602.31, while industrial soared 0.98 percent, or 86.81 points to 8,964.10. Financials inched up by 0.23 percent, or 4.49 points to 1,529.44.

Property, however, was flat with a gain of 0.12 percent, or 2.81 points to 2,307.44.

Market breadth was also upbeat after advancers beat losers, 128 to 46, while 29 shares were unchanged.