Philippine equities gained further on Tuesday as investors were encouraged by positive global developments as well as bright third quarter prospects for companies.
The Philippine Stock Exchange index (PSEi) rose by 1.34 percent or 93.56 points to 7,055.49, while the All Shares index gained 0.50 percent or 20.23 points to 4,031.78.
“We breached the 7,000 level today because investors continued to react positively to developments abroad. And as we all know, third quarter earnings [results]are just around the corner,” said Astro del Castillo, First Grade Finance Inc. managing director.
Listed firms are set to begin releasing third quarter corporate earnings data later this month.
“After several downward movements the past few days, the market is now on a positive trend,” del Castillo noted.
US markets improved overnight on the back of the news that United States, Japan and 10 other Pacific Rim countries had reached an agreement on the long-awaited Trans Pacific Partnership trade deal. The Dow Jones was up 1.85 percent or 304.06 points to 16,776.43, S&P gained 1.83 percent or 35.69 points to 1,987.05 and the Nasdaq rose 1.56 percent or 73.49 points to 4,781.26.
“We’ll still look out for the trend in the next few days. The market will probably consolidate within the major trading range [6,800 to 6,900],” del Castillo said.
All sub-sectors gained on Tuesday, led by services that advanced 2.51 percent.|
First Gen Corp. and SM Prime Holdings Inc. ended with losses among the actively traded stocks. The top gainers were Universal Robina Corp., Philippine Long Distance Telephone Company, International Container Terminal Services, Inc., Ayala Land, Inc., SM Investments Corp., Globe Telecom, Inc., BDO Unibank, Inc., and Ayala Corp.
Total trades reached 2.678 million shares amounting to P13.625 billion. Advancers outnumbered decliners 113 to 67, while the 46 issues were unchanged.