MANILA, Philippines—Local stocks recouped early session losses to close marginally higher on Monday and stay afloat 5,100 in light trading ahead of the long Lenten break.
The main-share Philippine Stock Exchange index closed 3.13 points or 0.06 percent to 5,110.86 on Monday. The index was down by over 20 points earlier in the day but a late-session buying allowed it to close in positive territory.
The index was supported by the modest gains eked out by the industrial and holding firm counters. On the other hand, the financial, services, mining/oil and property counters ended in the red.
“Trading this week will be light in volume but high in volatility,” said Joseph Roxas, president of local stock brokerage Eagle Equities.
Value turnover was very light at P3.11 billion which paled in comparison to the P7.85 billion average daily turnover in the market in the first quarter. Dealers said many investors stayed on the sidelines because many were already on vacation mode. Trading activities seasonally thin out ahead of the Lenten break.
Trading in the PSE will run only until Wednesday this week and resume by Tuesday next week, putting many traders and investors in holiday mode. It is also in this period that many investors prefer to stay liquid ahead of the long holidays.
Despite the small PSEi gain, the broader market was on the decline. There were 73 advancers which were edged out by 88 decliners while 40 stocks were unchanged.
The stocks that contributed to the PSEi’s rise were SMIC, Aboitiz Power, BPI, Megaworld, Jollibee and Manila Water. The non-PSEi stocks that gained in heavy volume were PHES, Petron and Marcventures.
On the other hand, the PSEi’s rise was curbed by the decline in the share prices of AGI, AC, ALI, PLDT, ICTSI, BDO, MPI, DMCI and SM Prime. There was likewise profit-taking on Cebu Holdings and Security Bank.