The PSEi bounced from its major support level of 6,400 after bargain hunters started picking up battered stocks.
The main index rose by 61.35 points to 0.96 percent to close at 6,433.10 as the Services counter surged although Banks and Conglomerates continued to fall. Volume jumped to 1.22 billion shares worth P22.72 billion due to the MSCI rebalancing as gainers outnumbered losers 98 to 89 with 51 unchanged.
“Philippine shares had a volatile session as investors bought up to align with the latest MSCI rebalancing, whiles other analyzed US corporate earnings ahead of a key inflation report,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that “the stock market bounced back after hitting its lower point yesterday as the Peso weakened against the US dollar, amid rising inflation concerns.“
Philstocks Financial Assistant Research Manager Claire Alviar said, “the local market gained, driven by last-minute bargain hunting that brought the index back above the 6,400 level.“
“Investors seized the opportunity to buy stocks at attractive prices following a five-day decline, resulting in a technical bounce at the 6,400 support level,” she noted.