Index takes cue from global upswing

MANILA, Philippines - The local stock market continued  to stay above the 7,000 mark as investors took their cue from global upswing, analysts said.

The benchmark Philippine Stock Exchange index (PSEi) climbed by another 53.31 points, or 0.75 percent, to settle at 7,108.80, while the broader All Shares index rose 27.32 points, or 0.67 percent, to end 4,059.10.

Most of the indices stayed in positive territories except for the industrial and mining and oil barometers which both declined.

Value turnover reached P8.24 billion. Advancers stayed ahead of decliners, 102 to 80, while 38 stocks were unchanged.

Analysts said a recovery in oil prices spread to stock markets and emerging market currencies yesterday, with the prospect of more support from the world’s central banks offsetting more disappointing economic data.

Mining and energy shares were the big winners in Europe, up two to four percent. Asian shares reached a seven-week high, while emerging-market stocks rose two percent, to their highest level since mid-August. 

On the local front, analysts  said the market may simply be held “hostage” by events overseas with domestic influences related to third quarter corporate and economic performance still more than a month away.                 

“Local share prices dropped in early trading despite a generally positive tone across Asia. Heading into the close, however, investors turned into a buying mood again to push the measure into the 7,100-line,” Justino Calaycay of Accord Capital said.