Philippine stocks post all-time high amid upbeat U.S. market
MANILA, Philippines (UPDATED) – The Philippine Stock Exchange index (PSEi) braved ghost month as it posted its highest close in history on Thursday, September 14, on the back of the upbeat US market and a "buy" recommendation on local property shares.
The PSEi closed at 8,144.91, up by 91.03 points or 1.13% from Wednesday, September 13's close.
It was on April 10, 2015 when the PSEi breached the 8,100 level at 8,127.48 points.
"Asia is tracking US gains but outperforming region after China data disappointed. [There is also] one foreign broker who released a 'buy' recommendation on Philippine property shares," Bank of the Philippine Islands (BPI) lead economist Emilio Neri Jr told Rappler.
The PSEi also hit a fresh all-time intraday high of 8,169.64, surpassing the previous intraday record of 8,136.97 posted on April 7, 2015.
On Wednesday, the Nasdaq Composite, S&P 500, and Dow Jones Industrials posted record highs as concerns over tensions on the Korean Peninsula eased.
Harry Liu, Summit Securities Incorporated president, told Rappler that this can be seen as Philippine stocks breaking out and eventually moving higher in the coming days.
"As a technician, there is something positive moving forward. We've been sideways since May this year. I think 10,000 level by the coming year is possible," Liu said in a phone interview.
Year to date, the PSEi has gained 19.1%.
For PSE president and chief executive officer Ramon Monzon, the stock market's surge to a record high underpins investor confidence in the local economy and in the Philippine capital markets.
"The Philippines remains a favorite among emerging markets as it continues to provide attractive returns," Monzon said in a statement. – Rappler.com