Peso back at P55:$1 level; PSEi also gains

THE peso posted its strongest close in more than seven months on Wednesday and the stock market also rose to a near two-month high with sentiment said to have been boosted by corporate results, affirmation of the country's investment-grade rating and news about tariff deals with the US.

The peso ended the day at P55.84 to the dollar, its best close since September 20, 2024's P55.67:$1, while the benchmark Philippine Stock Exchange index (PSEi) added 102.80 points, or 1.64 percent, to 6,354.99 — the highest since March 10, 2025's 6,360.77.

The broader All Shares index added 41.07 points, or 1.11 percent, to 3,727.30.

Philstocks Financial Inc. research analyst Claire Alviar said "the local bourse jumped ... following positive cues from Wall Street amid a major trade deal announced by the US."

"Many investors also took the opportunity to buy stocks at bargain levels," she added.

"Additionally, Fitch Rating' decision to affirm the Philippines' investment grade 'BBB' rating with a stable outlook added to the positive sentiment."

Alviar said that market participation was relatively strong at P7.83 billion.

"Moreover, foreign investors helped lift the market, recording a net inflow of P986.27 million," she added.

DragonFi Securities Inc. equity research analyst Jarrod Tin, meanwhile, said "the PSEi extended its gains, supported by strong [first quarter of 2025] earnings from several index heavyweights and a backdrop of easing global trade tensions."

"Metrobank led the index advancers after reporting a 16.1-percent year-on-year increase in gross loans for the first quarter which helped fuel its rally," he added.

With the index approaching the key resistance level of 6,400, Tin said, "We may see some profit-taking or consolidation in the near term as the market gauges whether it has enough momentum to break above this level or retrace toward its 20-day moving average near 6,150."

All but two indices closed the day in the green, with financials up the most by 2.68 percent. Mining, and oil and services fell by 1.26 percent and 1.13 percent, respectively.

On a company basis, gainers outnumbered decliners, 100 to 77, while 70 were unchanged.