PSEi bounces back on bargain hunting

Philippine stocks bounced back on Thursday as investors hunted for bargains following the previous session’s losses while taking cues from an overnight rally on Wall Street.

The benchmark Philippine Stock Exchange Index (PSEi) climbed 1.3 percent or 80.12 points to close at 6,238.46.

Luis Limlingan, head of sales at Regina Capital Development Corp., said buying interest lifted market sentiment, with investors taking advantage of lower valuations after the recent decline.

“The recovery reflected renewed risk appetite after the global market also traded in green, although participants remain watchful for fresh catalysts to sustain the upside,” Limlingan said.

Philstocks Financial Inc. said bargain hunting lifted the market, with sentiment also getting a boost from Wall Street’s gains as US bond yields fell.

Trading activity picked up, with net value turnover reaching P8.2 billion.

Foreign investors, however, remained on the selling side, posting net outflows of P555.34 million.

All sectoral indices ended in positive territory, led by mining and oil, which surged 5.04 percent.

Among index members, International Container Terminal Services Inc. was the session’s top performer, advancing 3.28 percent to P960.50.

GT Capital Holdings Inc., meanwhile, was the main index laggard, sliding down by 1.99 percent to P492.

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Analysts said the rebound came a day after the PSEi suffered losses amid renewed concerns over the Middle East and a weaker peso.

Despite Thursday’s recovery, the continued foreign selling indicated offshore investors remained cautious toward Philippine equities.

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