Index bounces back as heavyweights recover

MANILA, Philippines — The stock market managed to recover yesterday as investors bought back select blue chips.

The benchmark Philippine Stock Exchange index (PSEI) gained 62.50 points, or 0.79 percent, to finish at 7,927.20. 

Likewise, the broader All Shares gauge was also up at 4,743.84, up by 28.71 points or 0.60 percent. 

Majority of the sectors indices also managed to stage a comeback except for the industrial and services sectors. 

Total value turnover reached P14.165 billion including a block sale by Lucio Co-owned Puregold, which raised P4.7 billion in a top-up placement, to fund its capital expenditure requirements and other funding needs. 

In a disclosure yesterday, Puregold said it has sold approximately 104 million common shares at a price of P45 per share. 

There were 101 advancing stocks and 99 decliners, while 51 issues were unchanged. 

Gio Perez of Papa Securities gave this comment: “The PSEi managed to recover as it closed in the green. Ayala Corp. and SM Prime Holdings, the two heavyweights that brought down the index on Wednesday, notably closed in the green with the former ending 0.4 percent up, and the latter at 3.5 percent.”

He said that with the index managing to recover yesterday, resistance area to now look for for the last two days of the week is in the 8,100 to 8,200 area. Support, meanwhile, is still maintained in the area of 7,700.