(UPDATE) Bourse extends rally on gain of Wall Street

MANILA, Philippines (Xinhua) - The Philippine stock market extended its rally today following the huge gain of Wall Street.

The bellwether Philippine Stock Exchange index rose by 1.37 percent or 96.35 points to 7,125.63, while the broader all-share index added 1.09 percent or 45.25 points to 4,195.81.

Trading volume reached 1.56 billion shares worth P20.60 billion ($460.28 million) with 119 stocks advancing, 62 declining, and 46 were unchanged.

All six counters went up.

Online brokerage 2TradeAsia.com said investors took their guidance from Wall Street's strong overnight recovery.

The Dow Jones industrial average index leaped by 421 points, while the Nasdaq Composite was up by 104 points on expectations for stable interest rates at least for the first quarter of next year.  

"Although uncertainties might prevail with the decline in oil prices, consumer shares and those in oil-intensive industries might start to recognize oil-related savings by the start of 2015, " it said.

Thus, it advises investors to revisit oversold shares especially following this week's massive sell-off which saw the index closing the session below the 7,000 level for the first time in months.

In fact, the two-day rally was not enough to recover all the gains but managed to trim down the week's losses to only 1.36 percent.

Stocks in the 30-company index were mostly up. These include SM Investments Corp., Ayala Land, Inc., and heavyweight Philippine Long Distance Telephone Co.