Strong earnings, bargain hunting lift market

MANILA, Philippines — The local stock market bounced back yesterday as investors took cues from positive corporate earnings results.

The benchmark Philippine Stock Exchange index (PSEi) climbed by 1.33 percent or 80.8 points to 6,144.96, snapping a two-day losing streak.

The broader All Shares index also closed in the positive territory, gaining by 0.77 percent or 27.96 points to 3,668.41.

China Bank Capital Corp. managing director Juan Paolo Colet said that the PSEi rose on the back of generally positive corporate earnings results and fresh bargain hunting.

“Index technicals also indicate a potential break of an important downtrend line. If that is sustained in the next few trading days, then the market could stage a rally to key resistances at 6,300 and, thereafter, 6,600,” Colet said.

Claire Alviar of Philstocks Financial, on her end, said that aside from the optimism provided by corporate earnings results, foreign investors helped lift the market, registering a net inflow of P166.13 million.

Alviar said investors also seized buying opportunities after two consecutive days of decline.

Net market value turnover improved slightly to P4.92 billion from P4.24 billion the previous day.

All counters finished higher, except for mining and oil, which plunged by 1.52 percent.

Financials led the charge, rising by 1.56 percent, followed by property with a 1.45-percent jump.

BDO Unibank was yesterday’s top traded stock, soaring by 2.35 percent to P147.90 per share, followed by ICTSI which was flat at P340.