Stocks rebound after huge sell-off

MANILA, Philippines — The stock market bounced back after a huge sell-off on Monday, snapping its two-day losing skid.

The benchmark Philippine Stock Exchange index gained by 1.48 percent or 107.67 points to close yesterday’s session at 7,380.32, while the broader All Share index climbed by 1.14 percent or 44.68 points to 3,963.36.

Philstocks Financial research manager Japhet Tantiangco said positive spillovers from Wall Street amid the rate cut cues from US Federal Reserve chair Jerome Powell helped the market in its rise.

“Expectations that inflation last September has further slowed down also contributed to the day’s rally. Finally, investors appreciated the possibility of reserve requirement ratios being brought down to zero percent within BSP Governor Eli Remolona’s term,” he said.

Tantiangco said that the net value turnover remained above year-to-date average at P5.39 billion.

“However this is already significantly lower compared to the trading in the past few trading days,” Tantiangco said, noting that foreigners were still net buyers with net inflows amounting to P463.82 million.

All local counters were in the green, led by the property index with a 2.36-percent jump.

Both holding firms and financials also rose by more than one percent.

Market breadth was positive as advancers crushed decliners, 124 to 73, while 60 issues were unchanged.

Globe Telecom posted the largest increase among index members at 5.54 percent, while Wilcon Depot lost the most at 1.09 percent.

BDO, the top traded company yesterday, was down by 0.44 percent to P157.30 per share.