Stocks inched up on Tuesday, April 3, with investors going bargain hunting in the local market amid ongoing trade wars between the United States and China.
The bellweather Philippine Stock Exchange index eked out a gain of 0.12% or 9.12 points to finish at 8,048.72. The broader all-shares index also added 0.05% or 2.35 points to 4,871.90.
“Philippine markets still continued with its bargain hunting as the country was viewed as a safe alternative given the ongoing trade wars…some portfolio managers share the view that emerging markets such as our country may be a beneficiary to the trade wars,” Regina Capital Development Corp. Managing Director Luis A. Limlingan said.
In response to US President Donald J. Trump’s announcement to impose higher tariffs on $60-billion worth of Chinese goods coming in to the country, China said it will place tariffs of up to 25% on imports of 128 American-made products, including pork and seamless steel pipes.
Overnight, the Dow Jones Industrial Average shed 1.9% or 458.92 points to close at 23,644.19. The S&P 500 plunged 2.23% or 58.99 points to 2,581.88, while the Nasdaq Composite index also lost 2.74% or 193.32 points to 6,870.12.
Most Asian indices were also weighed down by the ongoing trade war, closing lower on Tuesday.
Back home, four sectoral indices advanced, while the remaining two declined. Leading the gainers was the counter for mining and oil, which picked up 1.44% or 158.56 points to 11,208.07. Holding firms rose 1.01% or 80.80 points to 8,046.67; services climbed 0.63% or 10.47 points to 1,676.61, while property was up 0.02% or 0.77 points to 3,682.74.
The financials counter dropped 1.13% or 23.50 points to 2,059.20, while industrial gave up 0.9% or 103.09 points to 11,371.28.
The market saw some 2.34 billion issues exchange hands, for a total value turnover of P6.1 billion. This marks a slight recovery from Monday’s thin trading that resulted to a P4.55-billion turnover.
Analysts had said that the PSEi will continue consolidating this quarter, until it establishes a firm base at the 8,000 level.
Decliners beat advancers, 104 to 98, while 45 issues were unchanged.
Net foreign outflows slowed to P238.61 million on Tuesday, against the net sales of P625.3 million in the previous session.
Nine of the 20 most actively traded stocks ended with gains, with SM Investments Corp. adding 3.17% to P975 each. Globe Telecom, Inc. rallied 2.71% to P1,668 each, while LT Group, Inc. also climbed 1.42% to P20 apiece.
Another nine declined, with Bank of the Philippines Islands and Universal Robina Corp. losing 2.77% to P108.70 each and 1.98% to P148.50 each, respectively. — Arra B. Francia

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