PH markets rise on hopes of end to Iran attacks

Philippine financial markets climbed on Wednesday, the last trading day of the week, following remarks of US President Donald Trump indicating that military attacks on Iran could end within two to three weeks.

The Philippine Stock Exchange index (PSEi) gained 49.74 points or 0.84% to close at 5,998.68, while the broader All Shares index grew by 19.68 points or 0.59% to 3,353.60.

Nearly all sectoral indices posted growth, except for industrials, which dropped by 123.21 points or 1.38% to 8,792.84.

“PSEi extended its rebound on improving sentiment, driven by hopes of a potential US de-escalation in Iran within the next two to three weeks, which could ease external concerns,” Regina Capital Development Corp. head of sales Luis Limlingan said in a mobile message.

This comes as Trump said US troops could be leaving “very soon,” with the exit possibly taking place “within two weeks, maybe two weeks, maybe three.”

The Philippine peso gained 48 centavos to close at P60.1:$1 from Tuesday’s finish of P60.748:$1 or the local currency’s weakest performance to date.

Rizal Commercial Banking Corp. chief economist Michael Ricafort attributed the improvement partly to the improving sentiment and the seasonal increase in remittances from overseas Filipinos ahead of the Holy Week.

“Offsetting positive factor for the peso: seasonal increase in OFW remittances and conversion to pesos to finance Holy Week holiday-related spending around the country,” he said in a separate message.

Malacanang earlier declared Thursday, April 2, and Friday, April 3 regular holidays in commemoration of the Holy Week.

Ricafort said this is expected to be followed by the seasonal increase in May to June for tuition payments.—LDF, GMA News