PHP stays firm vs USD, PSEi up

MANILA- - The Philippine peso and the local stocks market continued to prove its resiliency against the dollar Tuesday amidst investors decision to look for other reforms vowed by US President Donald Trump after the failure to get enough votes to start the repeal of Obamacare.

The peso closed the day at 50.18 from 50.12 Monday, which a trader traced to resumption of investors' belief on the Trump administration's policies.

It opened the day at 50.16, better than the 50.24 a day ago.

It traded between 50.20 and 50.15 resulting an average of 50.18.

Volume of trade reached USD393.4 million, lower than the USD497.2 million Monday.

The currency pair is seen to trade between 50.10 and 50.30 Wednesday.

Bangko Sentral ng Pilipinas (BSP) Governor Amando Tetangco Jr. on Tuesday said the local currency's movement was expected given the volatilities and impact of external developments.

He, however, pointed out that the local unit has been broadly stable and has maintained its competitiveness over the medium term.

Looking ahead we expect the peso to continue to draw strength from the steady stream of remittances from overseas Filipinos and foreign exchange proceeds from tourism and the BPO (business process outsourcing) sector, he said.

The Philippine Stock Exchange index (PSEi) gained 1.18 percent, or 85.49 points, to 7,331.46 points.

All Shares mirrored the main index' path after it rose 0.94 percent, or 41.21 points, to 4,411.21 points.

Most of the sectors also rose, led by the Holding Firms with 1.70 percent increase followed by Financials with 1.58 percent jump.

Services went up 0.72 percent, Industrial, 0.45 percent, and Property, 0.18 percent.

Only the Mining and Oil finished on the red after it declined by 0.43 percent.

Volume reached 1.6 billion shares amounting to Php 6.6 billion.

Gainer led losers at 100 to 80 while 48 stocks were unchanged.

Source: Philippines News Agency