Profit-taking pulls PH market lower

MANILA, Philippines–The local stock barometer pulled back below 7,300 on Tuesday as the recent run-up attracted profit-taking as index heavyweight Philippine Long Distance Telephone Co.’s third-quarter results fell below expectations.

The Philippine Stock Exchange index (PSEi) lost 90.84 points, or 1.24 percent, to close at 7,222.01, tracking lackluster trading across most Asian emerging markets. Across the region, investors weighed a gloomy economic data in China alongside Japan’s new economic stimulus.

At the local market, all counters were in the red but the biggest decliner was the services counter (-2.07 percent), weighed down by PLDT (-3.49 percent), which reported a 7-percent decline in core third-quarter net profit on lower margins and cut its full-year earnings guidance.

The property counter also slipped by 1.02 percent.

Value turnover for the day amounted to P8.5 billion. There were 57 advancers, which were overwhelmed by 128 decliners, while 42 stocks were unchanged.

Joseph Roxas, president of Eagle Equities Inc., said the run-up toward 7,300 had triggered some correction.

Universal Robina Corp. and SM Prime also weighed down the index, both declining by more than 2 percent, while Alliance Global Group Inc. also dropped by 1.95 percent.

Bank of the Philippine Islands, Bloomberry, Metrobank, Ayala Land Inc., Ayala Corp., Petron, BDO Unibank, Energy Development Corp. and International Container Terminal Services Inc. also slipped.–Doris C. Dumlao