PSEi rally after BSP trims banks’ reserve requirement, peso weakens

MANILA – The local stock market closed higher on Monday, while the peso closed weaker against the dollar.

The Philippine Stock Exchange index (PSEi) gained 164.93 points to 7,417.25, while All Shares likewise went up by 62.40 points to 3,958.02.

“The local market extended its rally this Monday, rising 2.27% to 7,417.25 as investors continue to cheer the Bangko Sentral ng Pilipinas’ (BSP) move to cut banks’ reserve requirement ratios,” Philstocks Financial, Inc. senior research analyst Japhet Tantiangco said.

“The monetary policy easing prospects of the BSP and the Federal Reserve also continued to give positive sentiment a boost,” he added.

All sectors advanced, except for the miners which edged lower by 0.01 percent.

The banks remained as the sectoral leaders, jumping 3.69 percent.

Gainers edged losers, 121 to 93.

The peso, meanwhile, closed weaker at 55.97 to a dollar from 55.69 on Friday.

It opened the day at 55.67 from the 55.45 kick-off the previous day.

The currency pair traded between 55.67 and 55.97, bringing the day’s average to 55.795.

Volume of trade went down to USD1.3 billion from USD1.6 billion. (PNA)

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