Foreign selling drags PSEi down 0.23%

The local stock barometer slipped in another thin trading session on Tuesday, uninspired by the upswing seen across other markets in the Asian region.The Philippine Stock Exchange index (PSEi) fell by 14.39 points, or 0.23 percent, to close at 6,136.31 as foreign investors continued to exit the local market.

“Local shares traded slightly lower as investors await the Sona (State of the Nation Address) next Monday and a lack of economic data kept many on the sidelines,” said Luis Gerardo Limlingan, managing director at local stockbrokerage Regina Capital Development.

“Others are also making assumptions on the market availability of a novel coronavirus vaccine being ready for production later this year,” he added.There was P582.24 million worth of net foreign selling that dragged down the main index.The PSEi was weighed down most by the financial counter, which shed 1.04 percent, while the industrial and property counters both declined by less than 1 percent.

The holding firm, services and mining/oil counters all gained by less than 1 percent.

Value turnover was thin at P4.37 billion ahead of an upcoming initial public offering (IPO) of Ayala Land’s AREIT Inc., the first real estate investment trust to come to the local market. Some investors are preparing their funds to subscribe to this IPO.

Despite the PSEi’s dip, there were more advancers (95) than decliners (91) for the day.The PSEi was dragged down by property giant SM Prime, which lost 2.21 percent, while URC fell by 2.94 percent.

SM Investments, Metrobank and Globe Telecom all slipped by over 1 percent, while PLDT, Puregold and AGI all declined by less than 1 percent.One notable decliner outside the PSEi was electronics manufacturing firm Cirtek, which tumbled by 6.35 percent.

On the other hand, ICTSI added 4.12 percent, while Ayala Corp. rose by 2 percent. —Doris Dumlao-Abadilla INQ