Index rebounds on Wall St, regional gains

MANILA, Philippines - The benchmark index managed to rebound yesterday, taking its cue from the advances in US and Asian stocks.

The Philippine Stock Exchange index rose 0.38 percent or 22.56 points to 5,958.12, while the broader all shares index added 0.40 percent or 14.32 points to 3,635.57.

“The market remains in consolidation,” Astro del Castillo, managing director of First Grade Finance Inc., said in a phone interview.

However, gains in the Wall Street and Asian markets rubbed off on local equities, del Castillo said.

On Tuesday, the Dow Jones Industrial average recovered 0.71 percent or 115.92 points to 16,373.86 while the broader Standard & Poor’s 500 index improved 1.08 percent or 19.68 points to 1,838.88 on strong December retail sales, erasing hefty stock market losses in the previous day.

Asian shares were in the green, with Japan’s Nikkei 225 rallied 2.50 percent or 386.33 points to 15,808.73.

At home, most counters ended in positive territory, led by industrial firms that gained 0.96 percent or 84.81 points to 8,936.58. But mining and oil eased 0.34 percent or 45.30 points to 13,172.05.

Investor participation weakened, with turnover value at P5.79 billion from P7.19 billion on Tuesday. Advancers outpaced decliners, 84 to 63, while 52 stocks did not change.

“Investors are waiting at the sidelines, waiting for clear directions,” del Castillo said, adding that sideways trading is expected in the coming days.