MANILA – A dip in February’s inflation rate helped buoy both the stock market and the Philippine peso on Wednesday (05 Mar 2025).
The Philippine Stock Exchange index (PSEi) extended its rally, rising for the third consecutive day. It gained 0.95% to close at 6,121.77, while the All Shares index increased by 0.98% to finish at 3,664.54.
All sectoral indices, except for Services which fell by 0.01%, closed in positive territory. Property stocks saw the most significant gains, rising by 2.99%, followed by Holding Firms (up by 1.16%), Mining and Oil (up by 1.12%), Industrial (up by 0.75%), and Financials (up by 0.21%).
The Philippine Statistics Authority reported that inflation in February slowed to 2.1%, down from 2.9% in January, which investors interpreted as a favorable sign for the economy.
Philstock Financials, Inc. research manager Japhet Tantiangco highlighted that the inflation slowdown could support economic growth, particularly in household consumption. He also noted that the data could signal the potential for policy easing by the Bangko Sentral ng Pilipinas.
Tantiangco also observed that the market’s net value turnover for the day reached PHP 7.23 billion, surpassing the year-to-date average of PHP 5.24 billion.
The day’s market performance saw 114 advancers outpacing 77 decliners, with 55 stocks remaining unchanged.
Meanwhile, the Philippine peso strengthened further against the US dollar, closing at 57.35, up from 57.75 the previous day. The peso opened at 57.60, improving from its previous day’s start of 57.83. Throughout the day, the currency traded between 57.32 and 57.61, with an average of 57.50 to the US dollar.
Trade volume also increased, reaching USD 1.55 billion compared to the previous day’s USD 1.04 billion.
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