Stocks bounce back on bargain hunting

MANILA, Philippines — The local stock market bounced back yesterday as investors shopped for bargains following two consecutive sessions of decline.

The bellwether Philippine Stock Exchange index (PSEi) rose by 1.51 percent or 91.2 points to end at 6,126.22.

The broader All Shares index also climbed by 0.72 percent or 24.06 points to 3,365.14.

“Philippine equities staged a solid rebound as buying steadily gathered pace throughout the session, allowing the market to recover a large portion of the previous day’s selloff,” First Metro Securities said.

“Foreign investors remained supportive, posting net inflows of P262.46 million while accounting for 57 percent of total activity,” it said.

RCBC chief economist Michael Ricafort also attributed the yesterday’s positive market performance to the issuance by the United States of a 60-day license allowing Iran to sell oil on the international market.

This gives Iran an economic lifeline as it continues talks with the US for a permanent peace deal.

Local counters were mixed, with those in the green having the upper hand. Services posted the highest jump at 3.53 percent, while mining and oil registered the biggest dip at 0.83 percent.

Trading was weak as total value turnover thinned to P6.83 billion from the previous day’s P10.26 billion.

Advancers edged out decliners in a tight contest, 85 to 83, while 66 issues did not change hands.

ICTSI was the session’s top traded stock, surging by 5.05 percent to P905 per share. It was followed by Jollibee, which soared by 4.1 percent to P127, and BDO Unibank, which slipped by 0.23 percent to P130.70.