MANILA—Local share prices rallied strongly for a second straight day near 7,400-mark on Wednesday, spurred by euphoria over the peaceful conduct and outcome of this week’s elections.
The Philippine Stock Exchange index (PSEi) surged 221.64 points, or 3.09 percent to 7,396.52 from Tuesday’s 7,174.88 finish.
“The euphoria given the peaceful conduct of elections (boosted share prices today). This is an indication that some investors are accepting (elections outcomes) and are more comfortable with the incoming administration,” Astro del Castillo, managing director of First Grade Finance Inc., said in an interview.
Del Castillo said Wednesday’s value turnover reaching Php12.86 billion also shows that “investors’ confidence is flowing back.”
Total traded shares stood at 2.2 billion.
However, he believes that the local market will go through a correction towards the end of this week or early next week.
“There will be a reality check… The market will take a breather, wait for some new developments,” he added.
All counters surged significantly, led by holding firms and property that advanced 3.35 percent and 3.65 percent, respectively.
Advancers swamped decliners, 160 to 50, while 34 issues unchanged.