PHL stocks decline on last-minute profit taking

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PSE bells

By Arra B. Francia, Senior Reporter

LOCAL EQUITIES slipped on Tuesday as investors decided to take profits at the last minute ahead of a trading break for Independence Day.

The bellwether Philippine Stock Exchange index (PSEi) dropped 0.17% or 14.41 points to close at 8,030.98 yesterday, pulled down at the last minute despite gains for most of the session. The broader all-shares index likewise went down 0.09% or 4.63 points to 4,907.68.

“The market encountered resistance at 8,108 to close at 8,030.98 as the investors took the opportunity to take profits ahead of the Independence Day holiday,” Unicapital Securities, Inc. Technical Analyst Cristopher Adrian T. San Pedro said in a text message.

Papa Securities Corp. Sales Associate Gabriel Jose F. Perez also attributed the market’s performance to anticipation of the holiday on Wednesday.

“The market was largely disappointed at the close after the index was sold down at the end to close 14.41 points down at 8,030.98, after trading in the green the entire day… The selling at the end may have been due [to]some anticipation of the holiday [on Wednesday],” Mr. Perez said in an e-mail, adding that resistance still remains at the recent high of 8,139.

Four sectors moved to negative territory, led by mining and oil which fell 0.82% or 60.49 points to 7,249.69. Holding firms shed 0.72% or 55.42 points to 7,641.23; property dipped 0.27% or 11.86 points to 4,372.53; while financials slumped 0.26% or 4.53 points to 1,731.95.

In contrast, the industrials counter climbed 0.93% or 109.29 points to 11,778.29, while services rose 0.72% or 12.09 points to 1,687.42.

Turnover improved slightly to P7.78 billion during yesterday’s session after some 650.77 million issues switched hands, compared to the previous session’s P7.35 billion.

Foreign investors remained in net buying mode at P244.02 million, although lower than Monday’s P1.45 billion.

Advancers outpaced decliners, 107 to 95, while 40 names were unchanged.

Local financial markets are closed today as the country celebrates its 121st Independence Day.

Overseas, stocks were mostly in the green even as US President Donald J. Trump said he may impose more tariffs on Chinese imports should he fail to make progress with Chinese President Xi Jinping when they meet at the G20 Summit in Japan on June 28-29.

The Dow Jones Industrial Average firmed up 0.3% or 78.74 points to 26,062.68. The S&P 500 index gained 0.47% or 13.39 points to 2,886.73, while the Nasdaq Composite jumped 1.05% or 81.07 points to 7,823.17.

Meanwhile, Asian stocks were boosted by China’s decision to tweak its policies on major investment projects in an effort to support its slowing economy.