The stock market snapped a two-day losing streak and returned to the 7,800 level on Monday on the back of positive Chinese factory data.
The benchmark Philippine Stock Exchange index (PSEi) rose by 1.79 percent or 138.23 points to close at 7,877.19, while the wider All Shares climbed by 1.16 percent or 53.84 points to end at 4,686.68.
“Christmas rally anticipation and China’s favorable manufacturing data sent local stocks higher,” brokerage firm Philstocks Financial Inc. said.
China said on Saturday its manufacturing sector expanded in November for the first time in seven months, providing a much-needed boost to investors looking for signs of optimism in the world’s number-two economy. Another survey of smaller firms on Monday showed a better-than-expected pick-up in factory activity.
The news comes as Beijing and Washington put the final touches to a partial trade deal, the expected passage of which has helped global markets rally for weeks.
“December got off to a positive start as investors optimistically waited for a solid trade deal to be signed,” Regina Capital Development Corp. head of sales Luis Limlingan said.
On Wall Street, the Dow Jones, S&P 500 and Nasdaq slipped by 0.40 percent, 0.40 percent and 0.46 percent, respectively.
In Asia, Tokyo surged by 1.01 percent, Shanghai inched up by 0.13 percent, Hong Kong added 0.37 percent, Seoul gained 0.19 percent and Jakarta climbed by 1.24 percent.
Singapore declined by 0.22 percent, Thailand slid by 1.07 percent and Vietnam fell by 1.17 percent.
In Manila, all sectors surged except for services and mining and oil which fell by 0.30 percent and 3.21 percent, respectively.
Over 1.27 billion shares were traded for P5.31 billion.
Losers outmatched winners, 104-86, while 49 issues were unchanged.
WITH A REPORT FROM AFP