Index recovers as investors hunt for bargains

MANILA, Philippines — The benchmark Philippine Stock Exchange index firmed up slightly above the 8,000 mark yesterday.

Traders said this was despite the move of S&P Global Ratings to cut anew its growth projection for the Philippines.

The benchmark PSEi closed higher at 8,057.64, up 44.07 points or 0.55 percent while the broader All Shares index rose 26.80 points or 0.55 percent to finish at 4,924.31.

Most of the sectoral indexes were up as well with conglomerates or holding firms leading the gainers.

Total value turnover reached P8.403 billion. Market breadth was positive 115 to 86 while 48 issues were unchanged.

Traders said the index seems to be targeting a strong base at 8,000 and may soon see some bargain hunters back in the game.

The latest S&P report was not enough to dampen sentiment, traders said. They said that it’s indeed only just a matter of time before the index gains strong momentum again and move significantly above the 8,000 level.

S&P Global Ratings sees the economy slowing down after state spending retreated due to delayed approval of the 2019 national budget, and as external headwinds intensify amid a burgeoning US-China trade war.

In its latest report, the global debt watcher slashed its growth outlook on the Philippines to 6.1 percent in 2019 from its previous forecast of 6.3 percent made last April.