MANILA—The Philippine stock market experienced a rise on Monday, buoyed by easing inflation, though the peso weakened against the US dollar, reflecting mixed economic signals.
According to Philippines News Agency, the Philippine Stock Exchange index (PSEi) climbed 1.16 percent to close at 7,554.68, while the broader All Shares index also gained, rising 1.02 percent to 4,082.97. Four major indices saw positive movements: the Property index surged by 2.05 percent, Services by 1.9 percent, Industrial by 1.22 percent, and Holding Firms by 1.21 percent. However, the Financials and Mining and Oil sectors didn’t fare as well, with declines of 0.46 and 0.39 percent respectively.
Japhet Tantiangco, research manager at Philstock Financials, Inc., noted that investors are encouraged by the Philippines’ significant inflation slowdown in September, bolstering the potential for further monetary policy easing by the Bangko Sentral ng Pilipinas. Optimism is also being fueled by expectations that the Federal Reserve might implement additional rate cuts.
The stock market showed a healthy balance with 129 advancers leading 79 decliners, and 49 counters remaining unchanged. Meanwhile, the peso exhibited weakness, closing at 56.83 to the US dollar, a decline of 0.53 from its opening rate. The currency fluctuated between 56.58 and 56.84 throughout the day, averaging 56.71 against the dollar. The trading volume for the day stood at USD 1.3 billion, down from USD 1.51 billion on the previous trading day, Friday.