The stock market rose Monday, buoyed by the move of Fitch Ratings to raise the Philippines’ sovereign rating by one level.
The rating on the nation’s long-term foreign currency-denominated debt was raised to BBB with a stable outlook, Fitch said in a statement on Monday. The upgrade puts the Philippines on par with Italy and ahead of Indonesia.
The Philippine Stock Exchange Index rose 53.87 points, or 0.6 percent to 8,358.57 on a value turnover of P5.85 billion. Gainers beat losers, 114 to 82, with 42 issues unchanged.
BDO Unibank Inc., the biggest lender in terms of assets, climbed 3.4 percent to P153, while Metropolitan Bank & Trust Co., the second-largest bank, added 2 percent to P98.10.
Metro Pacific Investments Corp., which is into toll roads, electricity and water distribution, and hospitals, advanced 2.3 percent to P6.55. PLDT Inc., the biggest telecommunications firm, fell 5 percent to P1,440.
Most Asian markets, meanwhile, rose Monday, tracking fresh records on Wall Street following forecast-busting US jobs data, as investors eyed the Federal Reserve’s latest policy meeting later this week.
US data on Friday showed 228,000 jobs were created last month and unemployment held at a 17-year low, reinforcing the view that the world’s number one economy is in a healthy state.
The reading—mixed with news of a breakthrough in Brexit talks, strong Chinese indicators and progress in US tax reform—helped fire a rally in US equities, driving the Dow and S&P 500 to close at all-time highs.
Adding to the upbeat sentiment was an agreement by US lawmakers to keep funding the government to avert a painful shutdown.
The advance helped staunch a sell-off that has hit global markets for most of this month as traders wind down for the end of the year, while tech firms took a hit from profit-taking.
Tokyo ended 0.6 percent higher as the Nikkei rose for a third straight day, while Hong Kong surged more than one percent in afternoon trade and Shanghai added one percent as Chinese traders brushed off lower than expected inflation figures.
Singapore put on 0.8 percent and Taipei jumped 0.7 percent, while Seoul rose 0.3 percent and Sydney was broadly flat.
Eyes are on the Fed’s last meeting of the year, which winds down on Wednesday. Most analysts expect the central bank to lift interest rates again, but they will be more interested in what boss Janet Yellen has to say about the timetable for future increases.
Bitcoin rose more than $1,300 to jump back above $16,000 following a sharp drop Friday on profit-taking after the cryptocurrency touched a record high above $17,000.
The unit is in focus after surging to multiple records since the start of December.
However, it made a muted debut as futures trading in the currency began on the Chicago board options exchange (Cboe) on a major global exchange.
The move is a milestone for Bitcoin, which has seen a buying frenzy by investors and prompted skeptics to warn of a bubble. With AFP