The Philippine economy posted a slightly stronger performance in the second quarter of 2025, with gross domestic product (GDP) growing 5.5 percent—up from 5.4 percent in the previous quarter. The positive data gave the peso a lift but failed to excite the local stock market.
The peso appreciated sharply, closing Thursday at 56.97 against the US dollar from 57.47 the previous day. It opened trading at 57.33 and moved within the range of 56.97 to 57.35, averaging 57.19 throughout the session. Trading volume also climbed to USD 2.71 billion, up from USD 2.5 billion on Wednesday.
Despite the upbeat economic data, the Philippine Stock Exchange index (PSEi) slipped 0.09 percent to end at 6,364.69 points. The broader All Shares index followed suit, easing 0.10 percent to 3,776.06.
Most sectoral indices closed in the red. Industrials led the losers with a 1.53 percent drop, followed by Holding Firms (-1.38 percent), Property (-0.24 percent), and Mining and Oil (-0.006 percent). In contrast, Services advanced by 2.05 percent and Financials gained 0.62 percent.
According to Luis Limlingan, head of sales at Regina Capital Development Corporation, investors may have expected more robust growth given the strong performance of the agriculture sector.
He noted that trading sentiment was also shaped by corporate earnings releases, global market movements, and speculations on future monetary policy shifts.
“However, broader market sentiment remains cautious as traders assess ongoing shifts in global trade dynamics,” Limlingan added.
