PSEi slumps to 6,946.06 due to weak Wall Street trading

MANILA, Philippines—The local stock barometer slumped for the third straight session on Tuesday as weak sentiment in Wall Street triggered more sell-down of local stocks.

The main-share Philippine Stock Exchange index lost another 22.03 points or 0.32 percent to close at 6,946.06 even as some other emerging markets had started to firm after the previous days’ bloodbath.

There were nearly twice as many decliners for every single gainer at the local market. Value turnover for the day amounted to P12 billion.

The decline was led by the financial, property, mining/oil and holding firm counters while the industrial and services counters managed to eke out modest gains.

The Philippine Stocks Exchange. AFP FILE PHOTO

BDO and AEV led the day’s PSEi decliners, both falling by over 2 percent. ALI, Metrobank, SM Prime and MPI all fell by over 1 percent while EDC, GTCAP, AGI, AP, Jollibee and Globe also ended lower.

The day’s decline, however, was tempered by the rebound of PLDT and URC, which both gained by over 1 percent. SMIC, JG Summit, BPI and Megaworld also gained.

“The PSEi had a key breakdown (on Monday) after it broke below its six-month uptrend line support of 7,100,” said Luis Gerardo Limlingan of Regina Capital Development Corp.

While monthly trend mode had yet to be determined clearly, Limlingan sees a bearish continuation to test 6,900 – 6,850. “In case of rallies, the index has to go back to at least 7,100 to prevent further downward movements,” he said.

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