Index snaps 3-day slump on technical rebound

MANILA, Philippines - Local share prices slightly recovered yesterday, allowing the main index to snap a three-day slump.

The Philippine Stock Exchange index rebounded 0.38 percent or 22.40 points to settle at 5,908.41, while the broader all shares index picked up 0.22 percent or 7.80 points to 3,597.62.

“It was a technical rebound. However, it was disappointing because we thought it would be a stronger uptick,” said BPITrade.com director Richard Anthony Liboro.

Liboro said the market was tentative ahead of the US payroll reports on Friday and the Bangko Sentral ng Pilipinas’ Monetary Board meeting today.

Like in the past trading days, local stocks followed the trend in overseas markets. Wall Street climbed on Tuesday as bargain hunters picked cheap stocks with the release of encouraging corporate earnings data.

The Dow Jones industrial average added 0.47 percent or 72.44 points to 15,445.24, while the broader Standard & Poor’s 500 index rose 0.76 percent or 13.31 points to 1,755.20.

Asian shares also recovered, with Japan’s Nikkei 225 gaining 1.23 percent or 171.91 points to 14,180.38.

At home, all counters were in the green, led by holding firms that closed 0.66 percent or 34.67 points higher at 5,314.78.

However, more investors stayed at the sidelines as the value of shares traded eased to P5.67 billion from P6.74 billion on Tuesday. Advancers outplayed decliners, 75 to 59, while 58 stocks did not change.