The local stock barometer firmed up in thin trading yesterday, approaching a key barrier at 7,800, as domestic players picked up shares dumped by foreign investors.
Tracking mostly higher regional markets, the main-share Philippine Stock Exchange index (PSEi) added 30.56 points or 0.4 percent to close at 7,771.30.
Investors have shifted their focus from the G-7 Summit to the upcoming US-North Korea Summit on Tuesday. The G-7 Summit attended by US President Donald Trump and key allies only heightened concerns about trade war.
“The PSEi might match this week the damp weather we’ve been recently having, especially with the two holidays ahead expected to weaken volume and also basing on the movement of the PSEi from its technicals,” Papa Securities analyst Gio Perez said in a research note.
Today (June 12), the market is on holiday in celebration of the Philippine “Independence Day” while Friday (June 15) is also a nonworking holiday in observance of Eid’l Fitr (Feast of Ramadhan).
“The index failed to break out of the 7,800 level last week due to the EPHE and other regional ETFs (exchange-traded funds) putting a cap on its recent rally. Given this, it might pause and trade sideways for the week on the back of potentially low volume from the aforementioned holidays,” Perez said.
On Monday, the local market was boosted by the holding firm and mining/oil counters, which both rose by over 1 percent. The industrial and services counter also firmed up.
On the other hand, the financial and property counters slipped.
Value turnover was thin at P4 billion. Foreigners remained net sellers amounting to P282.3 million for the day.
There were 103 advancers that edged out 49 decliners, while 49 stocks were unchanged.
The PSEi was led by Semirara, which advanced by 4.67 percent, while GT Capital and JG Summit both rose by over 2 percent.
Ayala Corp., SM Investments, and ICTSI all added over 1 percent, while Jollibee, Metro Pacific, BDO and Meralco all firmed up.