PSEi drops 0.29% as investors dump property stocks
The local stock barometer slipped on Tuesday as investors trimmed their exposure to big property firms in anticipation of the earnings decline arising from the challenging economic environment.
The main-share Philippine Stock Exchange index (PSEi) declined by 16.26 points or 0.29 percent to close at 5,651.67 as more foreign funds flowed out of the stock market.
Ayala Land, the day’s most actively traded company, fell by 4.5 percent. The company earlier reported a 41- percent year-on-year drop in first quarter net profit due to the double whammy arising from eruption of Taal Volcano and the lockdown of Luzon and other key regions starting mid-March.
ALI waived about P2.6 billion worth of rent from tenants in its 32 shopping malls nationwide during the enhanced community quarantine (ECQ) of Luzon and other key cities starting mid-March.
SM Prime also fell by 3.43 percent ahead of its first quarter earnings report, while Robinsons Land declined by 1.36 percent. Both property developers have also condoned rental fees during the ECQ period.
RLC’s first quarter net profit jumped by 82 percent year-on-year to P3.34 billion as earnings from the residential business soared after a recent change in accounting policy.
Value turnover for the day amounted to P5.36 billion. Foreigners were big sellers for the day, resulting in a net outflow of P968.6 million.
There were 87 advancers versus 86 decliners, while 45 stocks were unchanged.
Puregold and Metro Pacific both lost over 2 percent, while Metrobank and Jollibee declined by less than 1 percent.
The PSEi’s decline was tempered by the gains of BPI and Meralco, which rose 4.1 percent and 3.37 percent, respectively.—Doris Dumlao-Abadilla INQ
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