PSEi recovers on bargain hunting

Philippine stocks rebounded on Thursday as bargain hunting in blue-chip stocks and easing global oil prices lifted investor sentiment.

The benchmark Philippine Stock Exchange Index climbed 1.33 percent or 79.69 points to close at 6,071.06, recovering from the previous session’s decline.

Philstocks Financial Inc. research manager Japhet Tantiangco said investors took advantage of lower share prices, with buying concentrated on International Container Terminal Services Inc. (ICTSI), one of the index’s biggest components.

“Market participants showed renewed buying interest, particularly in blue-chip stocks that experienced declines in the previous session. The continued decline in crude oil prices also supported positive market sentiment,” Luis Limlingan, head of sales at Regina Capital Development Corp., said.

Trading activity improved, with net value turnover reaching P6.66 billion, slightly above the year-to-date average of P6.47 billion.

Foreign investors also returned as buyers, posting net inflows of P40.75 million.

Sectoral performance was mixed. The services index led the gains, climbing 3.71 percent, buoyed by ICTSI’s strong rally.

Meanwhile, the mining and oil sector posted the steepest decline, falling 4.82 percent.

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ICTSI emerged as the day’s biggest contributor to the benchmark’s advance after its shares surged 5.17 percent to P895 apiece.

Semirara Mining and Power Corp. was the index’s worst performer, sliding 4.36 percent to P23.05 per share as mining stocks came under pressure.

Analysts said investors took advantage of attractive valuations in select blue-chip stocks.