MANILA, Philippines–Local stocks resumed their upswing on Thursday, promptly bouncing from the previous session’s correction, as cash-awash investors sought better yields from equities.
The main-share Philippine Stock Exchange index regained 28.64 points or 0.45 percent to close at 6,459.99. The index is again nearing its record closing of 6,470.49 posted only last Tuesday and the record intra-day peak of 6,486.45 hit on Wednesday.
Mining/oil (+2.13 percent) and property (+1.55 percent) counters led the day’s climb while only the holding firms sub-index ended in a slightly negative territory.
Dealers said there was so much money waiting to be placed in equities given the record-low interest rates in the country. “There are many investors waiting to buy on dips,” said Joseph Roxas, president of local stock brokerage Eagle Equities.
Value turnover amounted to P8.45 billion. There were 99 advancers versus 69 decliners while 47 stocks were unchanged.
Philex Mining (+3.28 percent) perked up the mining/oil counter on reports that it may be allowed to reopen the Padcal mine in Benguet for four months.
Meralco, SM Prime, ALI, URC, SMC, Jollibee, ICTSI and Megaworld contributed most to the PSEi’s rise. Metrobank, MPI, EDC and SMIC also modestly gained in heavy volume.
Among non-index stocks, investors bought up a heavy volume of shares of Bloomberry, APM and Atlas.
Meanwhile, among the index laggers were AGI, RLC, AP, BDO, AC, Manila Water, PLDT, DMCI, JG Summit and BPI.
Elsewhere across the region, trading was cautious ahead of the European Central Bank’s policy meeting.