.jpg "31039_pse(1)"){kind=small}
The stock market rose Monday on bargain hunting along with the rest of Asia, with investors keeping a wary eye on China-US trade talks planned for the weekend.
The Philippine Stock Exchange Index climbed 84.90 points, or 1.4 percent, to 5,930.92 on a value turnover of P4.9 billion. Gainers beat losers, 125 to 74, with 45 issues unchanged.
Emperador Inc., the liquor unit of tycoon Andrew Tan, jumped 8.2 percent to P9.85, while parent Alliance Global Group Inc. advanced 4.5 percent to P5.80. Emperador is set to join the 30-company PSEi on Aug. 17 in place of Semirara Mining and Power Corp.
Nickel Asia Corp., the biggest nickel producer, surged 7.4 percent to P3.30, while conglomerate Ayala Corp. rose 4.1 percent to P730.
The rest of Asian markets mostly gained Monday ahead of the US-China trade talks this week after Washington imposed sanctions on several Hong Kong officials, further straining tensions between the superpowers.
Adding to uncertainty was US lawmakers’ inability to find common ground on a much-needed new stimulus for the world’s top economy, with executive orders signed by Donald Trump considered sticking plasters for a crippling crisis.
Washington on Friday hit a group of Chinese and Hong Kong officials”•including the city’s leader Carrie Lam”•with sanctions in the latest salvo in a row linked to Beijing’s decision to impose a security law on the city.
The move came after the White House set the clock ticking on forcing Chinese internet giants TikTok and WeChat to end all operations in the US, as part of a diplomatic-commercial offensive analysts fear will likely worsen leading into November’s presidential election.
China slammed the sanctions as “barbarous and rude.”
On Monday, Hong Kong media mogul Jimmy Lai, one of the city’s most vocal Beijing critics, was arrested under the security law, deepening a crackdown on democracy supporters.
Hong Kong edged lower with Tencent shedding nearly four percent after Friday’s five percent drop in response to the US WeChat move.
But shares in Next Digital soared 344 percent after diving around 17 percent at one point after the arrest of Jimmy Lai. Analysts said the surge was fueled by pro-democracy activists urging investors on social media to pile into the market to support the firm.
The rest of Asia was in were positive territory with Sydney 1.8 percent higher, while Seoul wa also more than one percent up.
Shanghai jumped 0.8 percent, Mumbai added 0.7 percent and Taipei put on 0.5 percent.
US regulators also last week recommended overseas firms listed in the US should be subject to local public audit reviews from 2022, which could cause Chinese firms to delist.
The White House also angered China on Monday when a cabinet member”•Health Secretary Alex Azar”•met Taiwan’s leader in the highest level visit from the United States since it switched diplomatic recognition from the island to China in 1979.
The developments have put the spotlight on Saturday’s meeting of trade officials to review their “phase one” trade deal signed in January. With AFP