PSEi surges to 6,400 level on US market gains

The Philippine Stock Exchange Index (PSEi) surged back to the 6,400 level on Wednesday, mirroring gains in the US markets after the Philippines secured a slightly lower reciprocal import tariff rate from the United States.

The PSEi gained 106.56 points, or 1.68 percent, to finish at 6,462.25, its highest close in over a week.

Market strategist April Lee-Tan attributed the local market's performance to the positive momentum from the US market.

All sectoral indices went up during the day, led by Services, which surged 5.84 percent.

The positive sentiments also buoyed the local currency, allowing the peso to improve to the 56-level and close at 56.88 from 57.05 on Tuesday.

Finance Secretary Ralph Recto indicated the possibility of two additional rate cuts from the Bangko Sentral ng Pilipinas (BSP) this year as inflation continued to ease.

The new tariff rate, which was marginally brought down from 20% to 19%, came at the close of President Ferdinand R. Marcos, Jr.'s three-day state visit to Washington, though it remained higher than the 17% announced in April.