PSEi succumbs to profit-taking

The local stock barometer slipped yesterday, tracking the correction across regional equities. It also was weighed down by the decline of Metrobank on the heels of a new share sale program.

The main-share Philippine Stock Exchange index (PSEi) shed 16.14 points or 0.18 percent to close at 8,848.99.

Reversing early gains, the PSEi succumbed to regional profit-taking and was likewise dragged by Metrobank and its parent conglomerate, GT Capital, which fell by 7.76 percent and 5.92 percent, respectively.

Metrobank was sold down after announcing a stock rights offering plan which was estimated by analysts to amount to more than P70 billion. This boosted its capital ratios but cut down return on equity.

By sector, the financial counter fell by 1.88 percent because of Metrobank’s decline. The mining/oil and property counters also weakened.

The industrial, holding firm and services counters firmed up.

Total value turnover reached P9.64 billion. There were 120 decliners that edged out 92 advancers, while 49 stocks were unchanged.

Ayala Land and Security Bank both fell by more than 1 percent while BDO, SM Investments and BPI also slipped.

Outside of the PSEi, one notable decliner was PXP, which slid by 4.89 percent.

URC gained 2.05 percent while PLDT and Metro Pacific both rose by over 1 percent. Ayala Corp., SM Prime, DMCI and Semirara also gained.
Non-PSEi stock Megawide was among the notable gainers, rising by 2.27 percent in relatively heavy trade. The construction firm had taken in state-controlled Social Security System as a minority investor and potential partner in key infrastructure projects, such as the rehabilitation of the Ninoy Aquino International Airport.