PSEi closes slightly higher

The local stock barometer ended slightly higher after a choppy session on Tuesday as a string of local and offshore concerns, including rising local coronavirus cases, kept investors at bay.

The main-share Philippine Stock Exchange index (PSEi) added 9.91 points, or 0.15 percent, to close at 6,766.83 on selective buying of large-cap stocks.

“Investors are still digesting the news about the (US) Senate passing a $1.9-trillion (COVID-19) relief package, underlining a stock market rotation driven by the rising US treasury yields,” said Luis Gerardo Limlingan, managing director at Regina Capital Development.

Limlingan also noted the increasing unrest of Taal Volcano.

“In addition, for the fourth day in a row, new COVID-19 patients topped 3,000, as the country reported spikes in cases in several areas, especially within Metro Manila,” Limlingan said.

With rising COVID-19 cases, investors see risk that the government may restore tighter lockdown protocols.

Meanwhile, Limlingan noted how oil prices had surged past the $70 level, hitting a 14-month high, after the attack of Saudi Arabia’s oil facilities.

At the local market, value turnover was heavy at P19 billion, mostly due to a P9.93-billion block trade on telecom giant PLDT. There was net foreign selling of P10.55 billion.

Despite the PSEi’s slight gain, market breadth was negative. There were 131 decliners that edged out 83 advancers, while 48 stocks were unchanged.

—Doris Dumlao-Abadilla INQ