Market breaks through 8,300 ceiling, breaks previous all-time high close

October 4, 2017 - 2:06 AM
As the market breached the 8,300 ceiling Tuesday, retailers and banks advanced, with Puregold Price Club Inc. and BDO Unibank Inc. rising to all-time highs at the end of trading. INTERAKSYON FILE

MANILA – The Philippine Stock Exchange index (PSEi) Tuesday registered an uptick of 0.69 percent, or 56.65 points, to 8,312.93 points, which a trader pointed to profit taking. It broke PSEi’s previous all-time high close of 8,294.14, on Sept. 18, 2017.

The broader All Shares followed with the 0.51 percent, or 24.64 points, increase to 4,892.00 points.

Most of the sectors registered gains with Services leading the group after it went up 1.18 percent followed by the Financials, 1.03 percent; Holding Firms, 0.53 percent; Property, 0.38 percent; and Industrial, 0.08 percent.

Volume for the day hit 1.47 billion shares amounting to P7.25 billion.

Advancers led decliners at 105 to 94 while 55 stocks were unchanged.

Retailers and banks advanced, with Puregold Price Club Inc. and BDO Unibank Inc. rising to all-time highs at the end of trading, Bloomberg noted.

Interviewed by phone, Unicapital Securities analyst Jonathan Latuja was quoted by Bloomberg as saying in a phone interview that, “Investors have taken position on retailers on expectations that the sector will benefit from the tax reform” while “banks advanced on indications of healthy loan growth.”

There had been concern earlier about the substantial differences in revenue streams between the tax reform package versions passed by the House of Representatives and that endorsed by the Senate ways and means committee, which is now undergoing plenary deliberations.

Apparently, stocks investors shrugged off such concerns, amid encouraging signs of global recovery and steady inflation which in turn fuel a bullish outlook on third-quarter corporate earnings, BDO Unibank chief market strategist Jonathan Ravelas, for his part, told Bloomberg.

“As long as government is seen doing its best to align Senate and House bills, then it will receive a positive response from the market,” Ravelas added.

Peso at 51.05

Meanwhile, the peso finished Tuesday at 51.05 from 51.08 a day ago.

It opened the day weaker at 51.23 from 50.90 a day ago.

It improved to as much as 51.04 but also pulled to 51.26, bringing the day’s average to 51.178.

Volume for the day reached USD 792.8 million, down from the USD 888 million a day ago.