PSEi Recovers Above 6,100 Amid Bargain Hunting, But Caution Lingers

MANILA, Philippines — Local stocks returned above the 6,100 level on Tuesday as investors hunted for bargains, while foreign funds flowed back into the market. The benchmark Philippine Stock Exchange Index (PSEi) rose 0.37 percent, or 22.31 points, to close at 6,105.99. READ: PSEi slips as peso hits new record low Philstocks Financial Inc. said buying in index heavyweight International Container Terminal Services Inc. (ICTSI) helped lift the market. ICTSI was also the session’s top index gainer. Luis Limlingan, head of sales at Regina Capital Development Corp., said the local index closed higher as market participants engaged in bargain hunting, taking advantage of lower valuations following yesterday’s decline. “However, investor caution remained evident as trading volume stayed subdued amid persistent macroeconomic and geopolitical uncertainties,” Limlingan said. “Overall, market sentiment remained measured despite the recovery in the index.” Foreign investors provided additional support, ending the day as net buyers with inflows of P164.54 million. Still, Philstocks said overall market sentiment remained cautious. Net value turnover stood at just P4.04 billion, reflecting relatively thin trading activity. Market breadth was likewise negative despite the PSEi’s advance. Decliners outnumbered gainers, 102 to 89. Most sectoral indices failed to mirror the benchmark’s climb. Mining and oil stocks led the market after gaining 2.40 percent, while financials were the worst performers with a 0.78-percent decline. Among individual stocks, JG Summit Holdings Inc. emerged as the day’s biggest index laggard. READ: GCash IPO seen to attract first-time investors Shares of the Gokongwei-led conglomerate dropped 2.15 percent to P20.50. Analysts said that despite Tuesday’s rebound, subdued turnover and weak market breadth showed that investors remained selective, with gains concentrated in some heavyweight shares. /pai