After wrapping up last week’s trade in the red, Philippine shares welcomed this week in the green with a “technical bounce.”
“After a week long streak of weakness, bargain-hunting took place after the market tried to test 6,350-point levels. This was helped by earnings results, which lifted investors’ optimism,” Jonathan Ravelas, chief market strategist of BDO Unibank Inc., said in a text message.
The Philippine Stock Exchange index (PSEi) concluded Monday trade 0.62-percent higher, or 39.58 points to 6,443.81. The wider all-shares barometer also improved a bit, or by 0.47 percent, or 18.29 points to 3,936.92.
Freya Natividad, investment analyst at Papa Securities, said that the market was a bit higher from the technical bounce that took place on Monday, since support was at 6,400 points.
“Expect market to range between 6,350 and 6,450 range,” Ravelas noted.
For the sectoral indices, only financials didn’t manage to race up to the green, losing a bit by 0.02 percent, or 0.24 points to 1,538.88.
Property, on the other hand, went up by 1.66 percent, or 41.24 points to 2,522.79, while holding firms advanced by 0.82 percent, or 47.56 points to 5,831.87. Mining and oil also increased by 0.77 percent, or 112.19 points to 14,612.52, while services gathered 14.44 points, or 0.71 percent to 2,044.25. Industrial was flat at 0.08 percent, or by an additional 7,87 points to 9,590.79.
This time, advancers beat losers, 80 to 69, while 38 issues were unchanged. Some of the most actively traded stocks on Monday were SM Investments Corp., Universal Robina Corp., Ayala Land Inc., Metropolitan Bank and Trust Co., International Container Terminal Services Inc., Philippine Long Distance Telephone Co., Alliance Global Group Inc., SM Prime Holdings Inc., Metro Pacific Investments Corp. and Ayala Corp.
Last week, the local stock market capped the shortened trading week in the red as investors seen to have been on a holiday mood ahead of the celebration of end of Ramadan.