The local stock market recovered more ground as encouraging economic news spurred investors to pick up bargains. 

The main index rose by 70.29 points or 1.13 percent to close at 6,295.29 with Conglomerates leading the charge. Volume dipped to 672 million shares worth P3.97 billion as gainers outnumbered losers 90 to 82 with 62 unchanged. 

“Philippines shares extended its winning streak on the back of data signaling the US economy could be slowing, as the market discounted an earlier end to the high interest rate environment,” said Regina Capital Development Corporation Managing Director Luis Limlingan. 

He added that, “a Conference Board consumer sentiment index came in at 106.1, under the consensus estimate of 116 from economists polled by Dow Jones. Data from the U.S. Bureau of Labor Statistics showed a decline in open job listings in July.“

Philstocks Financial Assistant Research Manager Claire Alviar said, “the PSEi extended its upward movement as bargain hunting persisted. This boost was largely attributed to the overnight rally in the US markets which also mirrored by the Asian markets due to the decline in the US’ Treasury yields.”

She noted though that, “market participation remained weak, showing that investors were still waiting for fresh catalysts to move the market.”

China Bank Capital Managing Director Juan Paolo Colet said that “the market had another positive session on the back of sustained bargain hunting inspired by the strong performance of US equities and the fall in US bond yields.”

“Sentiment was buoyed by the bigger than expected drop in US job openings and consumer confidence, with investors speculating that this could ease the pressure on the Federal Reserve to hike interest rates,” he added. 

Colet said, “the PSEi may try to move above 6,300 as part of the market’s current rebound from oversold conditions, but selling pressure is expected to build as we approach the major resistance at 6,375.”