LOCAL equities regained the 7,600 mark on Tuesday as investors snapped up stocks that were oversold in the past few days amid a volatile market.
The Philippine Stock Exchange index (PSEi) rose 1.27 percent or 95.88 points to 7,671.72 on Tuesday, while the All Shares index went up 0.48 percent or 21.58 points to 4,563.55.
Luis Limlingan, Regina Capital Development Corp. managing director, said investors hunted for bargains among oversold stocks while the market awaited the policy decisions of the US Federal Reserve and the Bank of Japan (BOJ).
“Local investors continued bargain hunting despite nearly four straight weeks of net foreign selling as they awaited the latest decision from the Fed and BOJ regarding monetary policy. Traders took their cue early from Japanese shares as they swung between gains and losses,” Limlingan said.
“Monetary policy uncertainty has helped reignite volatility in global markets over the past two weeks, with traders split over what action the BOJ will undertake in its review Wednesday,” he said.
“A slew of weak American economic data has pushed the probability of a US rate hike this week to 20 percent in the futures market, down from more than 40 percent in late August,” he added.
Except for industrials, all other sectors recorded gains led by services and the mining and oil sub-indices which added 2.44 percent and 2.46 percent, respectively.
Among the top gainers were Ayala Land Inc., GT Capital Holdings Inc., Security Bank Corp., Metro Pacific Investments Corp., SM Prime Holdings Inc., Bank of the Philippine Islands, PLDT Inc. and SM Investments Corp.
On the other hand, the two biggest decliners were Ayala Corp. and Universal Robina Corp.
Some 1.26 billion shares worth P6.37 billion were traded on Tuesday. Gainers outnumbered losers 107 to 72, while 48 shares were unchanged.
On Monday, the bellwether PSEi rose 0.29 percent or 22.08 points to 7,575.84, while the wider All Shares declined by 0.36 percent or 16.20 points to 4,541.97.