PSEi up on easing US-China trade tensions
Credit to Author: TYRONE JASPER C. PIAD| Date: Mon, 14 Oct 2019 16:23:55 +0000
Investors cheered on the “positive developments” arising from the trade negotiation between the United States and China last week.
The benchmark Philippine Stock Exchange index (PSEi) on Monday inched up by 0.44 percent or 34.35 points to end at 7,884.29 while the wider All Shares barometer climbed 0.37 percent or 17.60 points to finish at 4,759.09.
“The positive developments from the US-China trade negotiations sent the local market higher today, together with its regional peers,” Philstocks Financial Inc. said in a market comment.
Asian investors on Monday cheered a partial trade deal between China and the US, sending regional markets rallying, though observers were skeptical about the overall significance of the agreement.
Dealers took their lead from a strong performance on Wall Street after top-level negotiators ended two days of talks, saying US tariffs due to take effect this week would be put off and China would ramp up its purchases of US farm products.
US markets surged, with Nasdaq taking the lead at 1.34 percent. Dow Jones and S&P 500 climbing by 1.21 percent and 1.09 percent, respectively.
They also agreed on other issues including intellectual property, financial services, and currencies.
“The PSEi ended higher on very low volumes which tells us buyers are in control for now. The question is how long this can go on,” AAA Equities head of research Christopher Mangun said.
“It has been inching toward the key 8,000 level and based on the last few months, sellers have been in control every time the index has traded above this level,” he added.
In Asia, Tokyo jumped by 1.15 percent, Shanghai was up 1.15 percent, Hong Kong increased by 0.81 percent, Seoul rose 1.11 percent, Singapore inched up by 0.29 percent, Thailand added 1.52 percent, and Vietnam added 0.17 percent. Meanwhile, Jakarta was flat.
In Manila, all sectors were up except for mining and oil that dipped by 0.94 percent.
Volume turnover stood at 479.84 million for P3.76 billion.
Advancers led decliners, 96-74, while 71 issues were unchanged.
WITH REPORT FROM AFP