The local stock market finally bounced back after US Treasury yields eased and spurred a rally in US bourses.

The main index rose by 46.15 points or 0.75 percent to close at 6,225.78 with Banks leading all sectoral indices higher. Volume was still low though, at 415 million shares worth P3.31 billion, as gainers beat losers 102 to 60 with 47 unchanged.

“Philippine shares climbed higher, buoyed by a decline in yields and better than expected quarterly figures from Nvidia,” said Regina Capital Development Corporation Managing Director Luis Limlingan.

He noted that, “investors brushed aside BSP's comment that the Philippine GDP would fall lower than DBCC's target of 6 percent to 7 percent.”

Philstocks Financial Research and Engagement Officer Mikhail Plopenio said, “the local market bounced back this due to the positive spillovers from Wall Street amid the retreat of the US’ bond yields. Investors hunted for bargains as the bourse has already declined for four straight days.”

He added that, “the bourse traded in the green territory for the whole session but had its gains tempered in the second half of the session. This is as investors wait for cues from Federal Reserve Chairman Jerome Powell’s statements in the upcoming Jackson Hole Symposium.”

“After four straight sessions in negative territory, the market finally traded higher to close above 6,200. The index tracked the positive performance of US and Asian markets, with sentiment lifted by easing US treasury yields and indications of softening US private sector business activity,” said China Bank Capital Corporation Managing Director Juan Paolo Colet.

He added that, “whether today’s rise in the PSEi is a mere technical rebound or the beginning of a sustained recovery will depend on Fed Chair Jerome Powell’s remarks at the Jackson Hole symposium.”