STOCKS continued to improve on Tuesday as worries about the new coronavirus disease 2019 (COVID-19) variant, Omicron, ease.

The Philippine Stock Exchange index (PSEi) on Tuesday advanced 31.70 points or 0.43% to 7,286.50, while the broader all shares index inched up by 14.95 points or 0.38% to 3,857.91.

“Philippine stocks rose on optimism the global economic recovery could weather the Omicron threat with its mild symptoms and less severity than previous variants,” First Metro Investment Corp. Head of Research Cristina S. Ulang said in a Viber message.

As of Tuesday, the Philippines’ Health department has announced four confirmed Omicron cases in the country.

Two separate studies from London and South Africa suggested reduced risks of hospitalization and severe disease in people infected with the Omicron variant versus the Delta one, though the authors say some of that is likely due to high population immunity, Reuters reported.

Diversified Securities, Inc. Equity Trader Aniceto K. Pangan said the market continued its rebound on window dressing. He said this came while the Department of Health “showed that Omicron cases in the country have so far manifested mild symptoms in the same manner as what had been experienced, generally, in other countries despite being a contagious variant.”

Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said that local shares improve on the positive spillover from Wall Street caused by the robust US holiday sales data.

US retail sales rose 8.5% during the holiday shopping season from Nov. 1 to Dec. 24, powered by soaring e-commerce sales, a report from Mastercard SpendingPulse said on Sunday.

On Wall Street, the Dow Jones Industrial Average rose 0.98%, while the S&P 500 gained 1.38% after hitting a record high during the session. The Nasdaq Composite added 1.39%, Reuters reported.

Back home, most sectoral indices ended on Tuesday trading day in the green, except for property, which lost 4.13 points or 0.12% to finish at 3,190.67.

Meanwhile, mining and oil gained 141.72 points or 1.53% to 9,369.25; industrials grew 125.91 or 1.21% to 10,502.49; services rose 16.85 or 0.84% to 2,021.11; holding firms increased 38.83 points or 0.55% to 7,094.39; and financials advanced 4.11 points or 0.25% to 1,638.02.

Value turnover increased to P5.09 billion with 3.31 billion issues traded on Tuesday, from the previous trading day’s P3.87 billion with 1.10 billion shares switching hands.

Advancers outnumbered decliners, 115 versus 75, while 52 names closed unchanged.

Foreigners turned buyers with P659.90 million in net purchases posted on Tuesday, a reversal from the P110.42 million in net outflow on Monday. — Marielle C. Lucenio

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