PSEi Shrugs Off Slower GDP Growth, Returns to 6,000 Level | ANC

Why It Matters

The rally shows how geopolitical optimism can outweigh weak domestic growth, influencing capital flows and valuation prospects for Philippine equities.

Key Takeaways

• Philippine index hits 6,000 despite slower GDP growth.
• Iran‑U.S. peace hopes lift global equities, including PSEi.
• MSCI Asia up 1.9%, driven by Japan’s Nikkei rally.
• Peso records strongest daily gain in a month.
• Market may pull back near 6,050 resistance before advancing.

Summary

Philippine shares rose for a second consecutive day, pushing the PSEi back above the 6,000 mark even as the latest GDP data showed a modest 2.8% growth, well below expectations. The rally was largely fueled by optimism that the United States and Iran are close to sealing a peace agreement, which has lifted risk‑on sentiment across global markets.

The broader equity landscape mirrored the Philippines’ bounce. The MSCI All‑Country World Index climbed about 0.3%, while the MSCI Asia‑Pacific gauge surged 1.9%, propelled by a sharp recovery in Japan’s Nikkei 225. South Korea also overtook Canada to become the world’s seventh‑largest equity market, underscoring the region’s momentum. Meanwhile, the Philippine peso posted its strongest daily gain in a month, adding a currency boost to the equity rally.

Anchoring the market’s outlook, analysts noted resistance near 6,050 points and warned of a possible pull‑back to around 6,000 before any further upside. “We did hit resistance somewhere around 6,050… hopefully we pause,” one commentator said, emphasizing that the next move hinges on whether the Iran‑U.S. deal is finalized.

If the peace deal materializes, the PSEi could break higher, offering fresh capital‑raising opportunities for Filipino firms and attracting foreign inflows. Conversely, a stalled agreement may keep the index hovering near its current support levels, making the market’s trajectory highly sensitive to geopolitical developments.

Original Description

Philippine shares were on their second day of gains as hopes for an Iran peace deal offset concerns over slower domestic growth. -ANC, May 7, 2026