Bourse slips but stays above 8,000

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PSE BGC bells

By Arra B. Francia, Reporter

PHILIPPINE SHARES slipped on Friday on a lack of leads to sustain investor interest, even as it held the 8,000 line and marked the fourth straight week of gains.

The Philippine Stock Exchange index (PSEi) slipped by 0.14% or 11.7 points to close at 8,053.20 on Friday — even as it was up 0.76% from Jan. 18’s 8,047.12 finish — while the broader all shares index also retreated by 0.15% or 7.61 points to finish 4,853.62.

The PSEi opened in the green and broke above resistance at 8,100, hitting an intra-day high of 8,116.23, its highest level since March 22 last year, only to pare its gains post-market recess and cross into the red zone by close…” RCBC Securities, Inc. said in a Stock Market Weekend Recap attributed to analyst Fiorenzo D. De Jesus.

“Notably, foreign funds continued to position into the market, ending the session with P1.1 billion worth of fresh long positions, net of selling,” he added,noting that “[w]eek-to-date net foreign inflows totaled P3.1 billion”.

Regina Capital Development Corp. Managing Director Luis A. Limlingan noted in a mobile phone message that “Philippine shares traded slightly lower after several regional events and economic data did not stir any interest heading into the weekend”.

Papa Securities Corp. Sales Associate Gabriel Jose F. Perez noted that the PSEi failed to hold its resistance level of 8,100, despite net foreign inflows ballooning to P1.085 billion, compared to Thursday’s P789.79 million. This marks the seventh straight trading day of net foreign inflows.

“PLDT, Inc. had the highest net foreign flow of P213 million, followed by SM Investments Corp. and SM Prime Holdings, Inc.’s P213 million and P197 million, respectively,” Mr. Perez said in an e-mail.

Over in the United States, major Wall Street indices ended mixed, which Mr. Limlingan attributed to a “tide of corporate earnings… while monitoring US-China trade talks and a long-running US government shutdown (entered its 34th straight day) — all amid worries over the health of the global economy.” With this, the Dow Jones Industrial Average dipped 0.09% or 22.38 points to 24,553.24, the S&P 500 index gained 0.14% or 3.63 points to 2,642.33, while the Nasdaq Composite index advanced 0.68% or 47.69 points to 7,073.46.

The PSEi failed to mirror positivity among its major regional peers. Friday saw Japan’s Nikkei 225 firm up 0.97% to 20,773.56, the Shanghai Stock Exchange Composite add 0.39% to 2,601.72, South Korea’s Kospi index jump 1.52% to 2,177.73 and Hong Kong’s Hang Seng index rise 1.65% to 27,569.19.

Back home, four sectoral indices moved to positive territory, led by services which jumped 0.87% or 13.66 points to close at 1,581. Mining and oil followed with an increase of 0.65% or 55.06 points to 8,456.36, property rose 0.46% or 18.69 points to 4,013.20, while industrial added 0.16% or 19.3 points to 11,778.46.

In contrast, holding firms dropped 0.8% or 64.04 points to finish 7,927.59 while financials slipped 0.29% or 5.30 points to end 1,824.74.

Turnover stood at P7.875 billion after some 1.35 billion issues switched hands, compared to Thursday’s 1.574 billion shares worth P7.548 billion.

Advancers outnumbered decliners, 101 to 87, while 50 names were unchanged.

“Continue to watch out for the 8,100-8,200 area as it proved to be too tough to beat this morning. Support for the index should it move downwards is in the 7,750 area,” Papa Securities’ Mr. Perez said.