Stocks rose for a second day, following the release of trade figures showing that imports hit a record level in May, indicating robust domestic demand.
The Philippine Stock Exchange index, the 30-company benchmark, jumped 80 points, or 1 percent, to close at 7,938.37, as all six major sectors advanced.
The heavier index, representing all shares, also gained 40 points, or 0.9 percent, to settle at 4,754.67, on a value turnover of P9.4 billion. Gainers outnumbered losers, 125 to 85, while 42 issues were unchanged.
The Philippine Statistics Authority reported that imports jumped 17 percent to a record $8.2 billion in May, amid strong demand for consumer goods and capital equipment.
Eighteen of the 20 most active stocks ended in the green, led by hotel operator Waterfront Philippines Inc. which climbed 11.9 percent to P1.32 and construction firm EEI Corp. which advanced 10.6 percent to P11.44. Property developer Megaworld Corp. rose 5.3 percent to P4.77.
Meanwhile, most Asian markets retreated Wednesday after two days of gains with confidence hit by fresh revelations regarding Donald Trump’s Russia links.
The sell-off overshadowed a pick-up in energy firms, which tracked a second-successive jump in oil prices.
Crude, which has seen wild swings in recent months, has bounced back from last week’s losses with gains of more than one percent Tuesday on bets that US stockpiles had fallen last week.
Comments from the OPEC cartel that its output cuts with Russia were bearing fruit were also welcomed and on Wednesday Asian traders extended the oil rally, boosting energy companies in Hong Kong, Tokyo and Sydney.
However, the ongoing crisis surrounding Trump stepped up on Tuesday when his son Donald Jr released emails showing he had embraced Russia’s efforts to support the tycoon’s presidential campaign against Hillary Clinton.
The news is the latest blow to the White House, which has been battered by accusations over Russian collusion and accusations of cover-ups — fuelling worries about the president’s ability to push through his market-friendly economic agenda.
“Today’s revelation … has sent US political risk to another level,” said Stephen Innes, a senior trader at Oanda.
“Investors are once again questioning President’s Trump’s administration ability to pass through a pro-business agenda/attitude/stance to further stimulate the US economy.”
Tokyo ended 0.5 percent lower as investors grow averse to risky assets and opt for safer bets such as the yen, which hurts Japanese exporters.
Shanghai shed 0.2 percent, Sydney tumbled one percent and Singapore was down 0.4 percent. Seoul was 0.2 percent lower and Wellington gave up 0.6 percent.
But Hong Kong, supported by the energy rally, climbed 0.6 percent to close to its highest level since mid-2015.
On currency markets the dollar stepped back from recent gains after Federal Reserve governor Lael Brainard indicated the central bank should take it easy on future interest rate hikes.
Her remarks came ahead of Fed boss Janet Yellen’s two-day congressional testimony, which will be pored over for clues about its monetary policy.
The dollar, which has for years been supported by a move towards US tightening as the economy picks up, has begun to falter of late as other global central banks prepare to shift away from the easy money policies put in place after the financial crisis. With Bloomberg, AFP