By Arra B. Francia, Reporter

THE MAIN INDEX advanced to the 8,000 level on Wednesday as investors went bargain hunting following the short break, alongside foreign investors’ bullish position on the local bourse.

The 30-company Philippine Stock Exchange index (PSEi) jumped 1.17% or 92.90 points to close at 8,008.53 yesterday, continuing its upward trajectory after the holiday break on Tuesday. The broader all-shares index likewise climbed 0.88% or 42.92 points to end at 4,909.88.

“Philippine shares made up for the holiday with more bargain hunting as volumes picked up a week before the Holy Week,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a mobile phone message.

“Meanwhile, investors awaited the start of corporate earnings season later this week and the FOMC (Federal Open Market Committee) minutes of the meeting tonight,” Mr. Limlingan added.

The PSEi bucked the negative performance of markets abroad amid brewing tensions between the US and European Union, after the former threatened to impose $11.2 billion in tariffs on European products such as cheese, wine, and helicopters. The threats come amid already existing fears of a global economic slowdown.

“The index became an outlier today and closed at 8,008.53 due to the continued foreign buying in the market today,” Unicapital Securities, Inc. Technical Analyst Cristopher Adrian T. San Pedro said in a separate message on Wednesday.

Foreign investors recorded net purchases of P970.64 million compared to the previous session’s P496.59 million.

“On a technical note, the index is still consolidating between 7,800 support to 8,032 resistance,” Mr. San Pedro said, noting that the PSEi could retest the 8,100 and 8,237 mark in the short term should it be able to hold the 8,000 level.

The mining and oil counter was the lone sub-index that dropped, ending 0.47% or 36.25 points lower at 7,679.39.

The rest went up, led by holding firms which rose 1.29% or 100.94 points to 7,873.90. Industrials gained 1.16% or 137.21 points to 11,953.64; property firmed up 1.12% or 46.11 points to 4,139.09; services edged higher by 1.05% or 17.01 points to 1,630.98, while financials added 0.15% or 2.68 points to 1,742.48.

Turnover improved to P9.83 billion after some 2.14 billion issues switched hands, significantly higher than Monday’s P5.40 billion. Advancers outpaced decliners, 110 to 96, while 42 names were unchanged.

Other Southeast Asian markets were subdued as another downgrade to global economic growth by the International Monetary Fund and a US threat to slap tariffs on hundreds of European goods dampened investor sentiment.

MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.3%, a day after it hit its highest since Aug. 1. — with Reuters

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