It says it guards against the mundane damage types, but why is piercing not among these, and instead is blasting? I rarely come across the latter damage, so I can only assume this is a bug.
There's no way that's a bug. The game would be jokingly easy as a "tank" if you could heavily reduce damage done to you by those masked monsters (and other enemies who do their damage mostly by piercing damage.) The description could use a little work though.
Well it depends. If you think about it, piercing means it has a point stick. If you were using chainmail, you'd get owned. But platemail users shouldnt be getting even hit.
Armor piercing damage would be spell damage, like Putrefying and such. This should be like the other basic damage types, and I believe it's a bug as well. Nothing does blasting damage...
Lord Blade is right, the whole point of piercing damage is that its more effective against armor outright. This is your answer for sure~
Piercing seems to be reduced by block but only by half,compared to the other physical damages, I'm not sure if it's a bug or not. http://www.gaslampgames.com/forum/discussion/457/how-does-block-chance-actually-works