Bargain hunting props up share prices

MANILA, Philippines - Share prices continued to gain yesterday as investors gobbled up bargain stocks, analysts said.

The  Philippine Stock Exchange index (PSEi) added 32.05 points, or 0.45 percent, to settle at 7,092.90,  while the broader All Shares index rose   20.18 points, or 0.50 percent, to 4,083.95.

Investors are back in the market because October is traditionally a month when investors go bargain hunting.  “It’s October and it’s traditionally the month to buy so the market is up,” said Joseph Roxas of Eagle Equities.

All other indices also closed higher, in contrast to Tuesday’s mixed trading results.

Value turnover reached P5.301 billion with advancers beating decliners, 120 to 62. A total of 38 stocks were left unchanged.

Analysts said the latest exports data from Japan also provided some market optimism as the lower than expected data boosted expectations of a further monetary policy easing.

Japan reported Wednesday   its September exports grew by a paltry 0.6 percent from a year earlier, below the 3.4 percent forecast by analysts and economists, while imports slumped 11.1 percent.

This spurred hope among investors the Bank of Japan would further ease policy, thereby also contributing to the rise in share prices.