PSEi firms up

THE LOCAL stock barometer slightly firmed up after a rough start on Friday even as the US Federal Reserve effect waned.

The Philippine Stock Exchange index added 3.83 points or 0.05 percent to close at 7,818.38.

The day’s marginal gains were led by the financial, industrial, mining/oil and property counters while the holding firm and services sub-indices slipped.

Value turnover amounted to P9 billion. Despite the PSEi’s gain, there were more decliners (109) than advancers (73) in the broader market as investors turned selective. There were 40 stocks whose prices were unchanged.

Bloomberry led the PSEi gainers, rising by 3.25 percent while URC and SMPH rose by over 2 percent. Semirara, JG Summit, Jollibee and Metrobank advanced by over 1 percent.

Outside of PSEi stocks, DNL, RRHI and Security Bank gained by over 2 percent.

On the other hand, the PSEi’s gains were capped by the 3.34-percent decline of SMC while PLDT, EDC, GTCAP and AGI all slumped by over 1 percent. Megaworld, SMIC and BDO also slipped.

Local stock brokerage DA Market Securities said the local market was showing profit-taking pressure but currently still holding within consolidation range between 7,700 and 7,862 levels.

“While we cannot discount a test of newer highs towards the 8,000 level from select PSE index stocks, a break below the range would imply a test of major support levels at 7,545-7,495,” the brokerage said noting that technical indicators had eased from overbought to neutral.

“Short-term investors may opt to take profits as stocks hit or near their fair valuations. Long-term investors are recommended to buy on dip. Selective stock picking is key. Rotational movements are likely to persist,” the brokerage said.

DA Market said the seasonal catalysts that gnaw at trading volume would include : lack of leads post-earnings season, the upcoming vacation break in the Holy Week and income tax returns filing deadline by April 15.