PHILIPPINE STOCKS rose on the first trading day of 2025 on stronger manufacturing activity in December and as investors hunted for bargains.
The Philippine Stock Exchange’s benchmark index rose 0.33% or 21.60 points to close at 6,550.39 on Thursday, while the broader all-stock index rose 0.17% or 6.59 points to 3,755.10.
The Philippine financial markets were closed for holidays on December 30, December 31 and January 1.
The local stock market finished higher after the release of data showing Philippine factory activity in December grew at the fastest pace since November 2017, Rizal Commercial Banking Corp. chief economist Michael L. Ricafort said. in a Viber message.
The S&P Global Philippines Manufacturing Purchasing Managers’ Index (PMI) rose to 54.3 last month from 53.8 in November.
This marked the 16e month in a row in which the PMI rose and also marked the strongest improvement in operating conditions since November 2017.
A PMI reading above 50 indicates expansion, while a reading below 50 indicates a deterioration in business conditions.
“Both production and new orders rose sharply and at broadly similar rates, marking the strongest growth since April 2022,” S&P Global said.
“The market ended the first trading day of the year on a positive note thanks to last-minute bargain hunting,” said senior research analyst Japhet Louis O. Tantiangco of Philstocks Financial, Inc. in a Viber message.
“Foreign transactions generated a net inflow of P217.72 million… However, trading was still lethargic, with net sales of P2.8 billion, below the average of P5.15 billion last year.”
Net foreign purchases stood at P217.72 million on Thursday, a reversal from the P112.76 million in net foreign sales recorded on December 27.
Meanwhile, value turnover fell to P3.24 billion on Thursday, with 1.11 billion issues traded out of the P4.19 billion with 1.18 billion shares changing hands on December 27.
“Philippine stocks started on a positive note, posting noticeable gains as the market gears up for a full year,” said Regina Capital Development Corp. sales chief Luis A. Limlingan. in a Viber message.
Most sector indices closed lower on Thursday. Mining and oil fell 1.73% or 136.09 points to 7,693.57; holdings fell 0.32% or 18.47 points to 5,621.79; industry and services fell by 0.18% or 17.10 points to 9,291.05; and real estate fell by 0.03% or 0.78 points to 2,376.45.
Meanwhile, services rose 1.68% or 35.11 points to 2,116.83 and financials rose 0.83% or 18.07 points to end at 2,175.61.
“International Container Terminal Services, Inc. was the top index gainer, rising 3.37% to P399. Nickel Asia Corp. was the worst performer on the index, falling 4.30% to P3.34,” said Mr. Tantiangco.
The decliners narrowly defeated the advancers, 97 versus 94, while 47 names closed unchanged. — Revin Mikhael D. Ochave