Shares bounce back on bargain hunting

MANILA, Philippines — The local stock market bounced back strongly as bargain hunters took advantage following the previous day’s drop.

The bellwether Philippine Stock Exchange index (PSEi) jumped by 1.01 percent or 62.83 points to cap off the week at 6,286.70.

The broader All Shares index likewise rose by 0.68 percent or 22.78 points, closing at 3,393.34.

Luis Limlingan of Regina Capital said the local bourse ended higher as buying interest resumed following Thursday’s market correction, with positive sentiment supported by gains across regional markets.

“Investors took advantage of lower valuations, leading to broad-based buying throughout the session.

Optimism remained firm as improving regional market performance continued to lift investor confidence,” Limlingan said.

RCBC chief economist Michael Ricafort said the market also took into account the United States Mil lennium Challenge Corp.’s approval of a $60-million threshold program for the Philippines to advance the country’s energy security and governance reforms.

Ricafort said this is a favorable market signal on the country’s economic and credit fundamentals, as well as on governance standards.

Trading was strong as total turn over value expanded to P9.04 billion. Foreigners were net buyers with net inflows at P772.08 million.

All sectors were in the green, led by mining and oil, which surged by 2.32 percent, followed by property with a 1.24-percent increase.

Market breadth was positive as advancers crushed decliners, 102 to 82, while 61 issues were unchanged.

ICTSI was the session’s top traded stock, rising by 1.39 percent to P985 per share, followed by Apex Mining, which soared by 6.21 percent to P13.

Among index members, Ayala Land was the leader, posting a 5.96-percent jump to P16, while DigiPlus lost the most, plunging by 4.05 percent to P11.36.