Stocks succumb anew to profit taking

MANILA, Philippines — Investors found it hard to resist pocketing gains yesterday, sending the local market in the red at the week’s close.

After hitting a fresh 31-month high on Thursday, the benchmark Philippine Stock Exchange index (PSEi) shed 0.41 percent or 30.44 points to finish Friday’s session at 7,428.30.

The broader All Shares index also closed lower by 0.19 percent or 7.67 points, settling at 3,970.43.

“Profit-taking dragged the PSEi into the red despite remaining in overbought territory, ignoring positive US market momentum,” Luis Limlingan of Regina Capital said.

Limlingan said US stocks rose as upbeat economic data, including a drop in jobless claims and steady durable goods orders, eased fears of a slowdown.

Locally, net value turnover thinned slightly to P6.6 billion from the previous day’s P6.88 billion.

Sectoral gauges were a mixed bag, with mining and oil leading those in the green with a 0.55-percent jump.

Financials, on the other hand, took the biggest hit, posting a 1.9-percent drop.

Market breadth remained positive as advancers pummeled decliners, 113 to 94, while 45 issues were unchanged.

JG Summit registered the biggest gain among index members at 2.73 percent, while BDO lost the most at 3.41 percent.

ICTS was still the most actively traded stock, although flat, at P410 per share, followed by SM Investments which grew by 0.10 percent to P996 per share.