PSEi ends at near two-month high

Stocks advanced anew yesterday, with the main index closing at a near two-month high, as investors were encouraged by positive corporate earnings in the second quarter.

The benchmark Philippine Stock Exchange index (PSEi) finished at 6,483.11, up 53.03 points or 0.82 percent, while the broader All Shares index gained 24.93 points or 0.73 percent to close at 3,461.76. Luis Limlingan of Regina Capital said investors picked up heavily beaten stocks ahead of the inflation report for July, which is expected to be released tomorrow, and amid rising US-China tensions.

Total value turnover, meanwhile, reached P5.842 billion. Market breadth was positive, 98 to 78, while 49 issues were unchanged.

Around Asia, shares mostly rose as investors welcomed encouraging economic data and quarterly earnings reports from big companies.

Benchmarks rose across the region, including Japan, China, Australia and South Korea. The gains followed a strong rally on Wall Street.

Jitters eased over the visit of US House Speaker Nancy Pelosi to Taiwan after she left for South Korea and then later Japan, firm US allies for decades. But analysts said some geopolitical risks remain, with China conducting military exercises near the self-ruled island that it claims as its own territory.

“Despite the easing in immediate concerns, investors will be looking out for any potential escalation in US-China tensions, with any economic sanctions from China likely to negatively affect risk sentiment and positioning in Asian markets,” said Anderson Alves of ActivTrades.

Alves said investors are also watching US nonfarm payrolls, due Friday, for indications on hiring, and how that might affect interest rate policy. But overall Pelosi’s trip so far has had little impact on markets.