Manila:Bargain-hunting activity lifted the Philippine Stock Exchange index (PSEi) on Wednesday, as the index rose by 1.26 percent to close at 5,694.92 points. The broader All Shares index also experienced an increase, rising by 0.80 percent to 3,185.15 points. Despite these gains, the Philippine peso remained relatively unchanged against the US dollar.

According to Philippines News agency, most sectoral gauges saw gains, with the Financials sector leading the way with a 3.82 percent increase. The Services sector followed with a 1.79 percent rise, Mining and Oil increased by 0.91 percent, and the Industrial sector saw a modest gain of 0.33 percent. However, the Holding Firms sector fell by 1.07 percent and the Property sector declined by 0.25 percent.

Trading volume on the local bourse was thin, with 663.85 million shares amounting to PHP6.95 billion. Declining stocks outnumbered advancing ones, with 97 decliners, 94 advancers, and 61 shares remaining unchanged.

Luis Limlingan, head of sales at Regina Capital Development Corp., attributed the market's advance to bargain-hunting among select index heavyweights, following recent market weaknesses. He noted that investor sentiment was buoyed by positioning ahead of the upcoming inflation report, as market participants are keenly awaiting further indications of the country's inflation trajectory and its potential implications for the Bangko Sentral ng Pilipinas' monetary policy direction.

Meanwhile, the Philippine peso ended the day's trade at 63.53 against the US dollar, slightly changing from its previous close of 63.47. The local currency opened at 63.57 and traded within the range of 63.6 to 63.42, averaging 63.48 for the session. The trading volume of the currency rose to USD1.32 billion, up from the previous day's USD1.04 billion.