PSEi, Peso Strengthen as January Inflation Aligns with Expectations

MANILA – The stable inflation rate in January helped boost investor confidence during Wednesday's trading, leading to better performance for both the local stock market and currency compared to the previous day.

The Philippine Stock Exchange index (PSEi) rose by 3.15 percent to 6,281.08, while All Shares improved by 2.18 percent to 3,696.66.

“Philippine shares made another furious comeback as the latest CPI (consumer prices index) came within many analysts' expectations, paving the way for more leeway for the BSP to time the cutting of interest rates,” said Regina Capital Development Corp. head of sales Luis Limlingan.

According to the Philippine Statistics Authority (PSA), inflation in January remained steady at 2.9 percent, the same as in December 2024.

“Sentiment also received an additional push as Wall Street edged higher on Tuesday as investors sought stability amid fresh global trade developments,” Limlingan added.

All sectors saw positive movement, with Property leading the gains, rising 4.81 percent to 2,405.82. Other sectors saw increases as well, including Holding Firms (+4.09%), Industrial (+2.53%), Mining and Oil (+2.39%), Services (+2.19%), and Financials (+1.69%).

Gainers outnumbered losers at 127 to 68, with 50 stocks unchanged.

Meanwhile, the Philippine peso strengthened to 58.10, gaining 0.24 from the previous day's close of 58.34.

The peso opened stronger at 58.05, compared to the previous day's start of 58.45, and traded within a range of 57.98 to 58.14, averaging at 58.07 against the US dollar.

Trade volume fell to USD1.82 billion from USD2.13 billion in the previous session.

Source: https://www.pna.gov.ph/articles/1243424