Bargain hunting propels PSEi above 6,000

MANILA, Philippines — Stocks rallied as investors took advantage of lower prices following the market’s recent slump.

The benchmark Philippine Stock Exchange index (PSEi) soared by 2.03 percent or 120.39 points to close the session at 6,041.26.

The broader All Shares index likewise jumped by 1.43 percent or 48.58 points to settle at 3,446.30.

The market’s strong performance to open the shortened trading week was attributed primarily to bargain-hunting activities.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the PSEi gained and completely erased the previous day’s 1.8-percent decline.

Ricafort said there could be some window-dressing activities as there are three more remaining business days before the accounting year-end.

“Philippine equities surged higher and joining the regional upswing, as businesses are more optimistic this fourth quarter with the expectations that accelerated holiday spending will improve margins,” AP Securities said.

All sectoral gauges were in the green, with five of six indexes gaining by more than one percent each.

Services led the charge with a 3.13-percent surge, followed by mining and oil, which increased by 3.09 percent.

Trading was strong to start the week, with total value turnover reaching P8.28 billion.

Advancers overpowered decliners, 130 to 69, while 57 issues were unchanged.

ICTSI was the session’s top traded stock, climbing by 4.55 percent to P574.50 per share, followed by BDO Unibank which rose by 4.45 percent to P133.70 and Suntrust Resort Holdings which improved by 1.67 percent to P0.61.