PHILIPPINE SHARES failed to sustain their recovery on Monday as investors poured money into the US market on the back of better jobs market data.

The 30-member Philippine Stock Exchange index (PSEi) shed 21.92 points or 0.28% to close at 7,779.80 on Monday, while the broader all shares index fell 8.08 points or 0.17% to finish at 4,637.88.

“The main index ended slightly lower on low trading volumes and some foreign outflows,” AAA Southeast Equities, Inc. Research Head Christopher John Mangun said in an e-mail on Monday.

Net outflows for Monday’s session reached P308.32 million, lower than Friday’s net sales worth P718.66 million.

“The main index opened higher today, but the gains were short-lived as sellers were clearly in control,” he said on Monday, adding that losses from Ayala Land, Inc. (down 0.80 points or 1.76%), Ayala Corp. (down 15 points or 1.81%), and SM Investment Corp. (down 18 points or 1.67%) weighed down on the index.

Regina Capital Development Corp. Head of Sales Luis A. Limlingan said yesterday’s outflows can be attributed to investors pouring money into the US after the US Department of Labor reported that non-farm payrolls surged by 266,000 in November, while unemployment fell 3.5%

“Here at home, the major event will be the last BSP (Bangko Sentral ng Pilipinas) meeting which is scheduled towards the end of the week,” he added.

On Friday, the Dow Jones Industrial index gained 337.27 points or 1.22% to 28,015.06, the S&P 500 index rose 28.48 points or 0.91% to 3,145.91, while the Nasdaq Composite index increased 85.83 points or 1% to 8,656.53.

For Asian markets, AAA Southeast Equities’ Mr. Mangun noted that most were slightly higher due to weak trade data from China, which showed that exports declined for the fourth month in November by 1.1%, year-on-year, with exports to the US declining 23%.

Back home, subsectors were divided. Those that gained were led by financials which rose 20.44 points or 1.09% to 1,895.05; industrials added 94.91 points or 0.99% to end at 9,650.34; and mining and oil increased 19.66 points or 0.26% to close at 7,537.17.

Losers were led by holding firms, which fell 102.79 points or 1.32% to end at 7,648.03; property lost 28.35 points or 0.69% to 4,071.53; and services dropped 2.18 points or 0.14% to 1,497.17.

Some 576.20 million issues valued at P5.56 billion switched hands on Monday, versus previous session’s 468.04 million issues valued at P5.71 billion.

Losers outnumbered advancers, 105 to 81, while 48 issues were unchanged.

“We may see it (PSEi) test support at 7,750 before going higher. The sentiment right now is extremely gloomy, and nothing seems to give investors any reprieve. The next two weeks are going to be crucial for global markets, what we are seeing may be the calm before the storm,” Mr. Mangun noted. — Vincent Mariel P. Galang