PHILIPPINE STOCKS edged higher on Tuesday as the market remained cautious amid the ongoing trade policy developments and ahead of the release of key US economic data.
The Philippine Stock Exchange index (PSEi) inched up by 0.04% or 2.69 points to close at 6,252.19, while the broader all shares index climbed by 0.14% or 5.14 points to end at 3,686.23.
“The PSEi closed marginally higher. The local market moved sideways this Tuesday as investors traded cautiously amid lingering uncertainties caused by the US-ignited global trade frictions,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message.
“The bourse came to a positive close, attributed to appreciation of corporate fundamentals, the peso’s strengthening against the dollar, and hopes that the Philippines would reach a trade deal with the US,” he added.
Key Philippine officials headed to Washington on Tuesday to negotiate the 17% reciprocal tariff imposed by President Donald J. Trump. On Monday, Trade Secretary Ma. Cristina A. Roque said the Philippine delegation seeks to lower the US tariff rate on Philippine goods to zero.
Meanwhile, Mr. Trump’s administration said it planned to reduce the impact of auto tariffs, a further sign of flexibility on a trade policy that has wreaked havoc on markets in April, Reuters reported.
The United States said it would move to reduce the impact of duties imposed on foreign parts in domestically manufactured cars, and keep tariffs on vehicles made abroad from stacking up on other duties, officials said.
“Philippine and US stocks closed mixed on Monday as investors awaited a heavy lineup of earnings, economic data, and trade developments,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.
Key US economic reports to be released this week include first-quarter gross domestic product data, the March personal consumption expenditures price index, and April jobs report.
Sectoral indices closed mixed on Tuesday. Industrials went up by 1.77% or 155.36 points to 8,929.86; financials rose by 1.34% or 31.78 points to 2,401.71; and mining and oil increased by 0.84% or 84.12 points to 9,999.33.
Meanwhile, services fell by 1.64% or 32.90 points to 1,965.85; property dropped by 1.42% or 32.32 points to 2,243.83; and holding firms went down by 0.10% or 5.31 points to 5,265.47.
“Universal Robina Corp. was the top index gainer for the day, climbing 5.22% to P84.70. Puregold Price Club, Inc. was at the bottom, falling 4.36% to P31.80,” Mr. Tantiangco said.
Value turnover dropped to P4.88 billion on Tuesday with 622.8 million shares changing hands from the P5.74 billion with 743 million issues traded on Monday.
Advancers beat decliners, 92 versus 77, while 66 names were unchanged.
Net foreign buying went up to P275.68 million on Tuesday from P228.16 million on Monday. — Revin Mikhael D. Ochave with Reuters
