China stimulus amid COVID-19 outbreak lifts PSEi

Philippine share prices closed in the green on Thursday as hopes rose over China’s stimulus measures to help its economy cope with the impact of the 2019 coronavirus (COVID-19).

The bellwether PSEi gained 16.06 points or 0.22% to 7,413.00 at the closing bell. The broader All Shares increased by 13.78 points or 0.32% to 4,375.87.

“Local shares closed higher on signs that China may be planning further measures to support its economy as it reels from a virus-induced slowdown and after Federal Reserve officials signaled they aren’t anxious to raise interest rates anytime soon,” Regina Capital Development head of sales Lusi Limlingan said.

China is widely expected to cut its benchmark lending interest rate on Thursday, which would add to measures aimed at limiting the impact from business shutdowns and travel curbs on the world's second-largest economy, according to a report by Reuters. 

Also supporting the market’s positive sentiment is the decline in new cases of COVID-19 in China.

“New case in China dipped below 1% since the mass outbreak in January after China altered its counting method again,” Limlingan said.

Foreign funds bought P3.513 billion and sold P4.046 billion for a net selling position of P533.021 million.

More than 1.864 billion shares valued at P5.791 billion, changed hands. Advancers led decliners, 90 to 84, and 54 issues were unchanged. — BM, GMA News