Most stocks yesterday saw their biggest rally in six months, catapulting the main stock barometer to the 6,600 mark, as investors scooped up bargains in anticipation of an economic and corporate earnings recoveries.
The main-share Philippine Stock Exchange index (PSEi) racked up 323.90 points or 5.11 percent to close at 6,665.14 in heavy volume, as local investors made up for sluggish foreign investor appetite.
This marked the PSEi’s biggest gain in a single day since November 10, 2020 when the index surged by 5.23 percent following a surprise interest rate cut by the Bangko Sentral ng Pilipinas.
There were still some outflows related to the latest MSCI rebalancing, as it was the last day for index-tracking funds to adjust their portfolios, but these were offset by a mix of bargain-hunting and month-end window-dressing activities.
Gokongwei-led conglomerate JG Summit soared by 12.88 percent, while SM Investments and URC advanced by nearly 8 percent.
Investors also picked up shares of Ayala Corp. and Ayala Land, which surged by 7.82 percent and 6.43 percent, respectively.
“Index stocks are now really cheap,” said Joseph Roxas, president of Eagle Equities Inc. “I think we have already seen the worst for the economy and it looks better going forward, except for those sectors that are Pogo (Philippine offshore gaming operator)-related.”
Value turnover was heavy at P23.8 billion. There were 145 advancers that overwhelmed 60 decliners, while 39 stocks were unchanged.
Net foreign selling for the day amounted to about P889.04 million. —Doris Dumlao-Abadilla