MANILA, Philippines — The Philippine stock market experienced gains for the second consecutive session, buoyed by favorable economic indicators and improving trade relations between the United States and China.

The benchmark Philippine Stock Exchange index closed at 6,465.45, reflecting an increase of 0.73 percent, or 46.76 points.

The broader All Shares index also reported a rise of 0.59 percent, or 22.26 points, to reach 3,768.38.

The upward momentum in the market is attributed to the Philippine inflation rate, which was recorded at 1.4 percent for April, indicating a potential for the Bangko Sentral ng Pilipinas (BSP) to implement cuts in policy rates.

Market analysts noted that this slower inflation could enhance liquidity and stimulate economic activity.

Investors have also reacted positively to the anticipated trade discussions scheduled between US and Chinese representatives this week, driven by a shared intent to address ongoing tariff issues.

Positive sentiment surrounding these negotiations has contributed to robust trading activity, with a net value turnover of 7.85 billion Philippine pesos.

Foreign investors were net buyers in the sessions, with net inflows amounting to 671.55 million pesos.

Despite the overall market surge, the property index experienced a slight decline of 0.35 percent.

In contrast, the industrial sector led the advances with a 1.36 percent increase, followed closely by the services sector, which saw an uptick of 1.18 percent.

Overall market breadth reflected a positive trend, with 113 stocks advancing against 72 decliners, while 48 issues remained unchanged.

In specific stocks, International Container Terminal Services Inc. (ICTSI) emerged as the most traded share, increasing by 2.13 percent to 383 pesos per share, while BDO Unibank recorded a significant gain of 4.89 percent, closing at 165.20 pesos.