Manila: The local bourse's main index gained traction alongside its US counterparts on Tuesday, buoyed by optimism that tensions between Iran and Israel would be contained. Meanwhile, the Philippine peso ended the trading day largely unchanged against the US dollar.
According to Philippines News Agency, the Philippine Stock Exchange index (PSEi) saw an uptick of 0.17 percent, closing at 6,369.19 points. The broader All Shares index also experienced growth, increasing by 0.41 percent. Sectoral indices mostly followed suit, led by the Industrial sector, which rose by 1.18 percent. It was followed by the Property sector with an increase of 0.30 percent, Holding Firms at 0.28 percent, Services at 0.22 percent, and Mining and Oil at 0.14 percent. The Financial index was the sole sector to end in negative territory, declining by 0.24 percent.
Trading volume reached 2.11 billion shares, with a total value of PHP5.94 billion. Advancers outnumbered decliners, with 124 stocks rising compared to 82 that fell, while 42 remained unchanged.
Luis Limlingan, the head of sales at Regina Capital Development Corporation, indicated that the prospect of a potential ceasefire between the Middle Eastern nations positively influenced market sentiment, particularly concerning oil supply concerns. Brent crude oil prices saw a decline of 1.35 percent, settling at USD73.23 per barrel.
Limlingan also highlighted expectations for the US Federal Reserve to maintain interest rates, influenced by weaker US manufacturing data. The Federal Open Market Committee is slated to meet on June 17 and 18, and these factors played into the day's currency trading dynamics. The Philippine peso ended the day at 56.7, a slight change from its previous close at 56.41 on Monday.
The peso opened trading at 56.45, a weaker start compared to the previous day's 56.25. It fluctuated between 56.7 and 56.45, culminating in an average exchange rate of 56.57. The trading volume amounted to USD1.20 billion, a decrease from the prior day's volume of USD1.30 billion.
