PSEi rallies back to 7,500 level on foreign buying

Philippine share prices rallied back to the 7,500-level on Wednesday, as foreign investors continued to reposition in emerging markets.

The bellwether PSEi surged 130.60 points or 1.75 percent to 7,577.09 at the noon recess. This is the first time the index traded above the 7,500 level since closing at 7,580.22 on October 25, 2016.

The broader All Shares gained 51.60 points or 1.16 percent to 4,512.16.

“The market broke out yesterday, on foreign buying. Funds are shifting out of the US again and moving into emerging markets. Medyo malaki na inakyat ng US so maybe some of them are taking profits there and shifting it back to cheaper markets like ours,” Miko A. Sayo, trader at Angping & Securities Inc., said.

“It’s purely foreign buying,” he said.

According to a report by Reuters, Asian investors are moving to the sidelines before a “potentially tense” meeting between US President Donald Trump and Chinese President Xi Jinping on Thursday and Friday this week. — VDS, GMA News