Peso up on tax reform law signing; PSEi down anew

MANILA — Signing into law of the  PHP3.767-trillion  2018 national budget further lifted the Philippine peso Tuesday while the Philippine Stock Exchange index (PSEi) declined for the second day in a row on fears of the impact of the tax reform act.

The local cuurency finished the day at 50.29 from 50.39 a day ago.

A trader  said investors are also happy with the signing of the first package of tax reform, which cut personal income tax, impact of which on government revenues would be countered by higher excise taxes of several items like fuel.

For the day, the local currency opened at 50.25, a big jump from the 50.43 a day ago.

It traded between 50.34 and 50.25, resulting to an average of 50.30.

Volume for the day reached USD490.

80 million, lower than the USD604.7 million Tuesday.

The currency pair  is seen to trade between 50.

20 and 50.40 Thursday.

On the other hand, the main equities index finished the day’s trade at 8,362.61 points, down 0.04 percent or 3.35 percent.

The broader All Shares followed after it fell 0.17 percent, or 8.52 points, to 4,893.62 points.

Half of the sectors also shed during the day, led by the Property with 0.44 percent and followed by the Financials, 0.18 percent; and Holding Firms, 0.02 percent.

Volume for the day reached 830.54 million shares amounting to PHP5.26 billion.

Losers led gainers at 110 to 84 while 50 shares were unchanged. (PNA)