PSEi closes up by 0.56%

The Philippine Stock Exchange Index (PSEi) rebounded on Tuesday as the benchmark measure moved in lockstep with regional indices after US stocks rallied and the Dow Jones Industrial Average hit a record high.

The PSEi ended the session higher by 0.56 percent, or 40.56 points, to 7,252.10 while the broader all-shares index gained 0.44 percent, or 19.68 points, to 4,456.52.

With few local drivers, investors took their cue from overseas and the rampaging US markets as large technology giants such as Amazon and Facebook were set to release earnings results.

In a note to investors, BDO Unibank Inc. chief strategist Jonathan Ravelas said there was room for the PSEi to move higher.

Based on technical indicators, he said the PSEi could attempt to rally to 7,300 to 7,400.

“But should the profit-taking activities continue and break below the 7,090 levels, a near-term top may have been achieved,” Ravelas added.

Subsectors were mostly positive on Tuesday with services up 1.9 percent, followed by industrial, up 1 percent, financials, up 0.52 percent, and mining and oil, up 0.48 percent.

Property closed down 1.23 percent.

Data from the PSE showed 834.55 million shares valued at P6.4 billion changing hands, with foreigners ending with net purchases of P127.74 million.

Decliners outnumbered advancers 110 to 89 while 52 companies closed unchanged. INQ