Stocks recover early losses as oil prices decline

The local stock market managed to recover from early losses to push the Philippine Stock Exchange index (PSEi) into positive territory at the close of the day’s trading.

The main index inched up 6.53 points or 0.09 percent to close at 7,026.45 on Wednesday, March 16, with the Mining and Oil sector leading the recovery while Banks and Property firms declined. Volume weakened to 1.32 billion shares worth P7.76 billion as gainers beat losers 119 to 59 with 55 unchanged.

“Philippine shares staged a rally to close slightly higher on the back of declining oil prices and a lighter than expected Feb. US PPI (Producer Price Index) reading at 0.8 percent month-on-month.”

Philstocks Financial Senior Supervisor for Research Japhet Tantiangco said “Last minute buying sent the local market higher. For the most part of the day, however, the market was in the negative territory as investors brace for the Federal Reserve’s upcoming policy decision wherein a rate hike is already possible.”

Limlingan said “Wall Street is betting that the central bank is going to hike rates for the first time since 2018.”