THE peso and the stock market rose on Wednesday following the release of Philippine growth data, which, while lower than targeted, was seen to have signaled continued economic strength.

The peso strengthened by 12.6 centavos to P56.275 against the dollar, while the benchmark Philippine Stock Exchange index (PSEi) gained 24.43 points, or 0.37 percent, to 6,646.44.

The broader All Shares index also advanced, adding 11.78 points, or 0.34 percent, for a 3,499.49 finish.

The peso opened trading at P56.45:$1 and ranged from P56.27 to P56.5. Volume reached P1.184 billion, down from the previous session's P1.321 billion.

Rizal Commercial Banking Corp. chief economist Michael Ricafort said that the country's growth outlook and likely lower inflation in January had lifted the peso.

China Bank Capital Corp. Managing Director Juan Paolo Colet, meanwhile, said last year's 5.6-percent growth — below the targeted 6.0-7.0 percent — still "signaled that the economy remains strong."

"It was not only above the median estimate of many economists, but it also showed that the Philippines was the fastest-growing economy among Asean countries that have published their respective GDP (gross domestic product) data to date," he added.

Regina Capital Development Corp. Managing Director Luis Limlingan echoed this, saying local shares rose as Philippine growth was "ahead of the latest Bloomberg consensus of 5.2 percent."

An upgraded International Monetary Fund growth outlook for the Philippines on the back of a robust recovery in investments and exports also spurred optimism.

For sector indices, property led gainers by rising 1.92 percent. Holding firms, on the other hand, declined the most by 0.63 percent.

Advancers outnumbered decliners, 99 to 78, while 55 were unchanged.

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