Technical rebound lifts PSEi up 2.03%

 

Philippine shares went on a technical rebound Friday, on the heels of a rally overnight on Wall Street.

The main PSEi surged by 123.77 points or 2.03 percent to 6,208.05. The broader All Shares gained 58.34 points or 1.66 percent to 3,577.92.

"It's a technical rebound... Let's see whether this could be sustainable,” Justino B. Calaycay Jr., senior equity analyst at Philstocks Financial Inc. said in a phone interview.

"We're riding on the rebound also in US stocks overnight and this is just bargain hunting," Calaycay emphasized.

US stocks were boosted by telecommunications, energy, and consumer shares on Thursday, Reuters reported.

"Hopefully, we get some encouragement from today's market – fingers crossed. The sell-off could open opportunities for investors to come back into the market," Calaycay said.

This week alone,  the market declined by 254.02 points or 3.93 percent from 6,462.07 on Friday, January 15. Year-to-date, the PSEi lost 767.64 points or 11.00 percent from 6,975.69 on the last trading day of 2015.

"The past two weeks there were rebounds but were not sustained," Calaycay said.

More than 935.703 million shares, valued at P6.167 billion, changed hands on Friday. Winners outnumbered losers, 104 to 60, and 40 issues were unchanged.

Regional markets were also gainers, after the European Central Bank hinted of more monetary policy easing, Reuters said in a separate report. – VS, GMA News