Index manages to recover on bargain hunting

MANILA, Philippines – Share prices managed to recover yesterday on bargain hunting after suffering from massive selloff on Monday, analysts said.

The benchmark Philippine Stock Exchange index (PSEi) closed in positive territory, gaining 42.29 points or 0.67 percent to finish at 6,330.55, while the broader All Shares index rose 17.49 points or 0.48 percent, to end at 3,645.46.

Yesterday’s performance was a marked turnaround from Monday’s finish when the index closed 287.17 points lower at 6,288.26.

Monday’s performance dragged the PSEi to its lowest level since Feb. 18, 2014 when the index closed at 6,193.97.

Philippine Stock Exchange president and CEO Hans Sicat expressed hopes “the resilience and sound fundamentals of the economy would be apparent in the medium term and can help temper the volatility over the coming periods.”

Analysts said the market recovery  was due in part to China’s decision to step up efforts to stabilize the yuan.

During yesterday’s trading, most of the indexes closed in positive territory. The industrial and property indexes led the gainers, closing higher by 64.29 points and 28.40 percent, respectively.

Value turnover stood at P4.70 billion in a trading session that saw advancers outnumber decliners, 96 to 77, while 45 stocks were left unchanged.