Selective buying of large cap stocks, particularly property companies, shored up the local stock barometer on Monday.
The main-share Philippine Stock Exchange index (PSEi) added 14.22 points or 0.23 percent to close at 6,283.58, driven by a surge in buying late in the session.
“The sentiment remains subdued, although we are starting to see more buying at the cheaper levels,” said Christopher Mangun, head of research at AAA Equities.
“Investors are still very cautious, but some traders are taking advantage by scooping up shares of companies that have been heavily oversold. We may see the market move higher in the coming sessions. Several second and third liners took substantial losses again today,” he added.
The property index surged by 3.61 percent while the industrial, services and mining/oil counters all added less than 1 percent.
On the other hand, the holding firm counter declined by 1.3 percent, while the financial counter shed 0.29 percent.
Despite the PSEi’s gain, market breadth was negative as there were 99 decliners that outnumbered 85 advancers, while 58 stocks were unchanged.
Value turnover amounted to P5 billion. After a hefty net foreign buying last Friday, net foreign selling resumed to the tune of P354 million.
Ayala Land, the day’s most actively traded company, led the property higher with its 5.61-percent gain. Retailer Puregold and infrastructure firm Metro Pacific also both advanced by over 5 percent.
Property developer Megaworld rose by 4.62 percent, while JG Summit gained 3.03 percent.