PSEi closes down 0.33% as foreign investors trim holdings

The local stock barometer returned to the doldrums yesterday as investors pocketed gains whenever the index neared the 8,000 mark.

The main-share Philippine Stock Exchange index shed 25.89 points or 0.33 percent to close at 7,917.86 as foreign investors trimmed holdings in some large-cap stocks. Elsewhere in the region, trading sentiment was mixed.

The index hit an intra-day high of 7,950.57.

“Gains in the US tech sector were apparently limited as they did not extend to the Philippine markets this trading session. Local stocks saw some profit taking after a sharp run-up the previous day. Investors were also waiting for the latest announcement on China’s fourth attempt at breaking into the MSCI’s benchmark share indices,” said Luis Gerardo Limlingan, managing director at Regina Capital Development.

“In addition, WTI oil (prices) dropped further as it closed $44.22 per barrel last trading day, now registering another five-week low. US drillers are continuing their additions to oil rigs and Saudi is still stubborn in saying that oil levels are balanced despite Libya adding up inventory at one million barrels in barrel count,” he said.

At the local market, the day’s decline was led by the financial, industrial, holding firm, services and property counters. Only the mining/oil counter ended higher.

Total value turnover for the day amounted to P7.08 billion. There was P374.78 million in net foreign selling in the market.

Despite the PSEi’s decline, there were slightly more advancers (95) than decliners (91) as investors scouted for opportunities outside PSEi stocks.

For instance, among the most actively traded stocks for the day were non-PSEi companies, such as retailers Wilcon and MRSGI, which both surged by over 8 percent. Eagle Cement gained 4.37 percent while Phinma Energy added 3.13 percent. SSI also rose by 1.93 percent.

On other hand, investors sold down LTG, which fell by 1.84 percent. Shares of Ayala Land, URC, BDO, Ayala Corp., Security Bank, EDC and DMCI also declined.

The PSEi’s decline was tempered by the gains posted by Meralco, SM Prime, GT Capital and ICTSI.

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