PSEi breaches 7,000 level on renewed investor optimism

Philippine shares breached 7,000 level on Wednesday amid renewed optimism on the country’s economic recovery from the COVID-19 pandemic.

The local stock barometer PSEi gained 92.64 points or 1.33% to 7,051.78 at the closing bell. The broader All Shares increased by 41.13 points or 1.00% to 4,144.87.

“The PSEi rallied above 7,000 today led by gains in conglomerates and the banks. Investors remain optimistic that the economy will see a massive rebound in the fourth quarter,” AAA Equities head of research Chris Mangun said.

Across the board, only the Mining and Oil index retreated, shedding 89.02 points or 1.09%.

“Investors returned to local shares and disappointing economic data from the US and accelerating COVID-19 cases keep investors in the Philippine market,” Regina Capital head of sales Luis Limlingan said.

On Wall Street, stocks fell following disappointing retail sales data and a spike in coronavirus cases across the country.

Latest data showed US retail sales increased less than expected in October and could slow further due to spiraling new infections and a lack of fiscal support, according to a report by Reuters.

Foreign funds bought P4.639 billion shares and sold P5.014 billion for a net selling position of P375.18 million.

More than 12.339 billion shares valued at P10.934 billion, changed hands. Advancers led decliners, 126 to 86, and 55 issues were unchanged.—AOL, GMA News