By Arra B. Francia, Reporter
LOCAL shares recovered on Friday, ending the first half of the year on a positive note on the back of window dressing alongside gains in international markets.
The 30-member Philippine Stock Exchange index (PSEi) jumped 1.8% or 127.11 points to 7,193.68. The broader all-shares index likewise went up 1.61% or 69.55 points to 4,392.78.
“Philippine stocks ended the session higher to close out the semester on window dressing and some support from the region,” Regina Capital Development Corp. Managing Director Luis A. Limlingan said in a mobile message.
The Dow Jones Industrial Average went up 0.41% or 98.46 points to 24,216.05. The S&P 500 index rallied 0.62% or 16.68 points to 2,716.31, while the Nasdaq Composite index jumped 0.79% or 58.60 points to 7,503.68.
Most Asian indices also ended higher following a recovery in Chinese markets.
Papa Securities Corp. Trader Gabriel Perez noted the same, saying that window dressing at the end of the first half of the year “saved” the PSEi for the day.
The PSEi had been hounded by volatility in the first six months of 2018. It reached an all-time high of 9,078 in intraday trading last January 29, and has so far dropped by more than 20% on the back of concerns over the brewing trade war between the United States and China.
The main index hit a low of 6,923.67 last June 26, its lowest record in a span of 17 months.
On Friday, all sectoral indices ended in the green, with property leading the increase by 3.05% or 105.03 points to 3,549.11. Holding firms followed with a 1.65% rise or 114.15 points to 7,051.74. Industrial gained 1.56% rise or 160.40 points to 10,414.84, while services climbed 1.52% or 20.88 points to 1,392.62.
Mining and oil increased 0.43% or 41.69 points to 9,673.22, while financials added 0.4% or 7.06 points to 1,779.30.
Some 750 million issues switched hands, valued at P7.13 billion, higher than the P5.79-billion turnover on Thursday. Advancers outpaced decliners, 120 to 82, while 43 issues were unchanged.
Foreign investors turned buyers, purchasing a net of P526 million worth of stocks on Friday, coming from a net foreign selling position of P362.06 million in the previous session.
Papa Securities’ Mr. Perez noted this is the largest net foreign buying figure since May 11.
“As a caveat, foreigners may only have been net buyers today due to window dressing. NFB (net foreign buying) days have also always been short-lived with the longest period since February only lasting for two consecutive days,” Mr. Perez said.