PSEi rises to near two-week high on tariff relief

PHILIPPINE STOCKS closed higher on Tuesday to track Wall Street’s rise overnight amid some relief from the volatility caused by the Trump administration’s changing tariff policies.

The benchmark Philippine Stock Exchange index (PSEi) rose by 0.66% or 40.58 points to end at 6,186.10, while the broader all shares index went up by 0.51% or 18.76 points to close at 3,646.65.

This was the PSEi’s best close in nearly two weeks or since it ended at 6,247.68 on April 2.

“The local market rose further this Tuesday as investors took cues from Wall Street’s climb overnight,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message. “Investors are pinning hopes on the possibility of a US-Philippines trade deal that could lead to lower tariffs of the former against the latter.”

“Investors are also hopeful that the BSP (Bangko Sentral ng Pilipinas) would cut rates further moving forward to give the local economy a boost.”

The three major US stock indexes ended higher on Monday, with Apple giving the S&P 500 a strong boost as the White House exempted smartphones and computers from new tariffs, Reuters reported.

Uncertainty over future tariffs kept investors cautious, however, as investors remain worried about how companies will manage supply chains as more developments are expected on the tariff front.

Meanwhile, Malacañang said on Monday that Special Assistant to the President for Investment and Economic Affairs Frederick D. Go will lead a delegation that will head to the US in May to negotiate the 17% “reciprocal” tariff to be imposed on the Philippines’ exports to the US.

“Philippine shares pushed closer the 6,200 level as sentiment continued to improve with the markets calming down before the Easter holiday,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.

Philippine financial markets will be closed on April 17 (Thursday) and 18 (Friday) for non-working days in observance of Holy Week.

Almost all sectoral indices closed higher on Tuesday. Industrials climbed by 1.29% or 112.04 points to 8,744.34; financials went up by 0.77% or 18.29 points to 2,394.29; holding firms increased by 0.61% or 31.49 points to 5,139.55; services rose by 0.38% or 7.61 points to 1,964.65; and property inched up by 0.27% or 6.13 points to end the session at 2,218.99.

Meanwhile, mining and oil slipped by 0.03% or 3.40 points to 9,571.98.         

Value turnover rose to P4.46 billion on Tuesday with 1.4 billion shares traded from the P4.32 billion with 557.88 million issues that changed hands on Monday.

Advancers beat decliners, 102 against 79, while 66 names were unchanged.

Net foreign buying went up to P205.99 million on Tuesday from P174.58 million on Monday. — Revin Mikhael D. Ochave with Reuters