The local stock barometer pulled back to the 7,000 level on Wednesday as investors trimmed their exposure to key stocks that have hit overbought levels.
The main-share Philippine Stock Exchange index (PSEi) lost 107.16 points, or 1.51 percent, to close at 7,001.51.
“Local shares were sold ahead of the (US) Thanksgiving holiday, while foreign funds continued to flock back to regions which they believe would be the first ones to receive the vaccine upon mass production,” said Luis Gerardo Limlingan, managing director at Regina Capital Development.
“The latter half of the week is gearing up to be an exciting one for the PSEi as global optimism clashes with the recent risk-off and profit-taking sentiment in the local scene,” said Papa Securities, citing the run-up of US stocks to record highs on the back of vaccine development euphoria.
After seeing heavy resistance at the 7,270 level, Papa Securities said the PSEi would likely find support at the 6,700 to 7,000 area.
The property counter dragged down the market with its 2.62-percent drop.
The industrial and holding firm counters both fell by over 1 percent, while the financial and services counters slipped by less than 1 percent.
On the other hand, the mining/oil counter added 3.41 percent.
Value turnover for the day amounted to P14.07 billion. There was P1.39 billion worth of net foreign selling.
There were 120 decliners that outnumbered 97 advancers, while 40 stocks were unchanged.
Investors sold down shares of SM Prime, Ayala Land, GT Capital, and URC, which all slumped by over 3 percent.
PLDT and Metro Pacific both lost over 1 percent, while BDO, Metrobank, SM Investments and Megaworld all declined by less than 1 percent.
Outside the PSEi, there was profit-taking on AC Energy and MerryMart, which slid by 8.94 percent and 7.2 percent, respectively.
On the other hand, SMC and Security Bank both gained over 2 percent, while Ayala Corp. added 1.2 percent.
One notable gainer outside the PSEi was MRC Allied, which racked up 5.66 percent.