Shares up as inflation stays within target

MANILA, Philippines — The stock market bounced back as investors welcomed the country’s October inflation rate, which remained within the government’s target despite a slight uptick.

The benchmark Philippine Stock Exchange index climbed by 1.71 percent or 121.84 to end yesterday’s session at 7,257.94.

The broader All Shares index was also in positive territory, jumping by 1.06 percent or 41.85 points to 3,993.51.

Luis Limlingan of Regina Capital said shares made a huge comeback as the October inflation came in within expectations at 2.3 percent, which was within the lower bounds limit of the Bangko Sentral ng Pilipinas.

As a result, the local market was able to buck the downtrend in US stocks.

Limlingan said Wall Street slipped on Monday as investors eyed the upcoming US presidential election and a potential Fed rate cut.

“Overall, investors balanced concerns over the US election with anticipation for October inflation and third quarter 2024 GDP data,” he said.

Net value turnover thinned to P4.39 billion from the previous day’s P4.42 billion.

All sectors were in the green, led by property with a 3.38-percent surge. Financials and industrial also performed strongly, rising 1.73 percent and 1.45 percent, respectively.

Market breadth was positive as advancers whipped decliners, 115 to 89, while 52 issues were unchanged.

BDO was the top traded company, climbing by 2.97 percent to P156 per share. It was followed by Ayala Land, which was also yesterday’s top index gainer, posting a 4.55-percent increase to P34.50.