PSEi rebounds, posts 1.04% gain

The local stock barometer bounced on Tuesday as bargain-hunters sifted through the rubble while a buoyant regional market tempered jitters from the reimposition of strict lockdown protocols in Greater Metro Manila.

The main-share Philippine Stock Exchange index (PSEi) added 59.58 points or 1.04 percent to close at 5,775.50.

“Investors became bargain-hunters in the PSEi following the huge sell-off (on Monday) as many embrace big week for corporate earnings, boosted by positive manufacturing data out of the eurozone, and leads from the US technology sector,” said Luis Gerardo Limlingan, managing director at local stock brokerage Regina Capital Development.

Papa Securities said the next few days would likely remain subdued as the PSEi was still reeling from the return of Greater Metro Manila to modified enhanced community quarantine alongside the upcoming announcement of the Philippine second quarter gross domestic product report on Thursday.

“Technicals for the PSEi point to a potential move to the 5,400 level, or the index’s low late-April, especially after (Monday’s) runaway breakdown gap,” Papa Securities said.

All counters ended higher, led by the mining/oil sub-index which rose by 4.03 percent, while the financial, industrial, services and property counters all added over 1 percent.

Total value turnover for the day amounted to P5.74 billion. Domestic hands kept the market afloat as there was P837.2 million net foreign selling for the day.

There were 136 advancers that overwhelmed 52 decliners, while 46 stocks were unchanged.

Investors picked up shares of Gokongwei-led Universal Robina Corp. (URC), which rose by 4.4 percent and became the most actively traded company in the market. Robust consumption of snackfoods, noodles, powered drinks and other food ingredients by locked-down households boosted URC’s second quarter net profit by 76 percent year-on-year to P3.8 billion.

Megaworld rose by 3.1 percent while Ayala land, BDO, Puregold and Metro Pacific all rose by over 2 percent.

PLDT and ICTSI both gained over 1 percent while SM Investments, Ayala Corp. and JG Summit all rose by less than 1 percent. —Doris Dumlao-Abadilla INQ