Jitters over ECQ pull down PH shares

The local stock market began a new trading week with caution as investors awaited whether the enhanced community quarantine (ECQ) in Luzon will be extended anew beyond April.The main-share Philippine Stock Exchange index (PSEi) fell by 56.32 points, or 0.97 percent, to close on Monday at 5,733.65 as foreign investors continued to dump local equities. Elsewhere in the region, trading sentiment was mixed.

While positive developments on potential COVID-19 vaccine could help the PSEi test the 6,000 barrier after bouncing from the 5,500 last week, local stock brokerage Papa Securities noted that on the flip side, President Duterte was set to meet with health experts this week to decide on the fate of the ECQ, now on its sixth week, past April 30.

“So, the final decision could prove to be an overhang for the 6,000 mark,” Papa Securities said.

The financial, industrial and property counters dragged down the index. All of these subindices declined by over 1 percent. The holding firm counter also slipped.

On the other hand, the mining/oil counter gained 1.98 percent, while the services counter gained slightly.

Value turnover for the day was thin at P4.75 billion. There was P628.7 million worth of net foreign selling for the day.

There were 109 advancers that edged out 83 decliners, while 44 stocks were unchanged.The PSEi was dragged down by URC, which fell by 3.71 percent.

BDO, Globe Telecom and Meralco all lost over 2 percent.

Ayala Land, SM Investments, SM Prime and Jollibee all fell by over 1 percent, while Metrobank, BPI and JG Summit all slipped by less than 1 percent.On the other hand, Ayala Corp., Puregold and Bloomberry all rose by over 1 percent, while Metro Pacific and GT Capital both gained by less than 1 percent.Some investors loaded up on stocks outside the main index, particularly telco player Dito and Cirtek Holdings, which rose by 11.48 percent and 10.21 percent, respectively.

The global war against the COVID-19 pandemic has boosted the order book for Cirtek’s electronic chips for critical medical devices. —Doris Dumlao-Abadilla INQ