Philippine peso strongest in 6 months, stocks break 8500 level
MANILA, Philippines – The country's financial markets posted new gains just before the end of 2017. The Philippine peso registered its strongest close against the greenback in 6 months, while stocks hit a fresh milestone by closing above the 8,500 mark.
The Philippine peso on Thursday, December 28, closed at P49.980 against the US dollar. This was its strongest close in 6 months since June 19.
Meanwhile, the Philippine Stock Exchange index (PSEi) on the same day closed at an all-time high of 8,535.09, up by 44.18 points from Wednesday, December 28.
The broader All Shares index also posted gains, up by 22.19 points to 4,963.70. Meanwhile, 5 of the 6 sectoral indices were in the green, with the mining and oil as well as financials sectors posting gains of over 1%.
"Both Philippine and US stocks finished higher on their last trading sessions as window dressing is now underway," Marita Limlingan, president of Regina Capital Development Corporation, said in a note.
BSP Governor Nestor Espenilla Jr, meanwhile, said remittances from overseas Filipinos and equity inflows boosted the local currency.
"Combination of strong remittance and equity inflows as well as US dollar softness over uncertainty of impact of US tax legislation [boosted Philippine peso]," he said, adding that the domestic fundamentals "remain attractive."
Trading resumed on Wednesday, December 27 after a 4-day Christmas break.
One more trading day is left this 2017 before the financial markets go on a 4-day break for the New Year break. Trading will resume on Wednesday, January 3 next year. – Rappler.com