PSEi up ahead of tax reform bill signing

The PSEi recovered and finished the day with a 1.03 percent, or 85.78 points, increase to 8,422.82 points (Pixabay photo)

MANILA –  Optimism on the eventual signing by President Rodrigo R. Duterte of the first package of tax reforms into law boosted the Philippine Stock Exchange index (PSEi) Monday while the peso ended the week’s first trading day little changed on tax reform concerns in the US.

The PSEi recovered and finished the day with a 1.03 percent, or 85.78 points, increase to 8,422.82 points.

A trader attributed this to investors’ risk-on sentiment as they await the President’s signature on the first package of the proposed tax reform measure, which the Bicameral Conference Committee ratified last week.

With the main index rallying, all the other counters finished also with improvements.

The broader All Shares rose to 4,909.79 points, up by 0.81 percent or 39.36 points.

The sectors were led by the Mining and Oil and Property, both of which rose by 1.55 percent; followed by Services, 1.25 percent; Holding Firms, 0.92 percent; Industrial, 0.70 percent; and Financials, 0.08 percent.

Volume for the day was thin at 853.22 million shares amounting to HP5.7 billion.

Advancers led decliners at 103 to 100 while 46 shares were unchanged.

The peso finished the day’s trade at 50.48 from 50.445 Friday last week.

A trader cited investors’ apprehension on the proposed tax reform in the US ahead of the final vote expected to be done this week.

The peso opened the week at 50.43, little changed from the previous session’s 50.48.

It traded between a wide range of 50.35 and 50.51, resulting in an average of 50.429.

Volume reached USD467.15 million, higher than the USD447.3 million at the end of last week.

The currency pair is seen to trade between 50.30 and 50.50 Tuesday.