Market rebounds on bargain hunting

MANILA, Philippines — The stock market rebounded from a two-day slump as investors hunted for bargains.

The Philippine Stock Exchange index (PSEi) climbed by 0.42 percent or 30.44 points, ending the week on a positive note at 7,314.23.

The broader All Shares index also rose by 0.25 percent or 9.88 points to close at 4,017.27.

“Shares managed to recover to above 7,300 as the Severe Tropical Storm Kristine begins its way out of the country,” Luis Limlingan of Regina Capital said.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the PSEi was slightly higher after the decision of the Bangko Sentral ng Pilipinas to cut the banks’ reserve requirement ratio took effect yesterday.

Ricafort said the move released about P400 billion into the financial system.

Net value turnover improved slightly to P3.63 billion from the previous day’s P3.6 billion.

Most sectors finished the session higher, led by financials with a 0.97-percent gain.

The property and industrial counters were in the red, declining by 0.67 percent and 0.16 percent, respectively.

Market breadth was positive with advancers crushing decliners, 110 to 81, while 55 stocks were unchanged.

Bank of the Philippine Islands was the top traded company and the top index gainer, surging by 5.04 percent to P146 per share. It was followed by GT Capital, which increased by 0.78 percent to P714.50.

Wilcon Depot, meanwhile, posted the biggest drop among index members with 2.29 percent.