PSEi ends 3-day slide on bargain hunting

Local stocks rebounded on Monday as investors snapped up beaten-down shares following three consecutive sessions of losses, while improved manufacturing data helped lift market sentiment.

The benchmark Philippine Stock Exchange Index (PSEi) climbed 0.53 percent or 30.56 points, to close at 5,799.32.

Brokerage Philstocks Financial Inc. said bargain hunting drove market recovery after the recent pullback.

Investors also took cues from the latest S&P Global Philippines Manufacturing Purchasing Managers’ Index (PMI), which rose to 50.8 in May from 48.3 in April, signaling a return to expansion in factory activity.

However, Luis Limlingan, head of sales at Regina Capital Development Corp., said gains were capped in the afternoon session as participants remained cautious.

“Positioning stayed defensive, with many maintaining short exposures ahead of the upcoming inflation data,” Limlingan said.

Trading activity was relatively robust despite lingering caution among investors. Net value turnover reached P7.14 billion, surpassing the year-to-date average of P6.38 billion.

Foreign investors, however, remained on the sidelines, ending the session as net sellers with net outflows amounting to P1.13 billion.

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Sectoral performance was mixed. The services index led the gains, advancing 2.47 percent, while mining and oil stocks posted the steepest decline, falling 0.97 percent.

Among index heavyweights, International Container Terminal Services Inc. emerged as the session’s biggest winner, rising 3.65 percent to P780 per share.

Meanwhile, Converge ICT Solutions Inc. was the worst-performing index stock after sliding 6.55 percent to P10.28.