Philippine shares finished lower on Friday as investors booked profits for a second day, taking their cue from a global selloff in the wake of Wall Street’s steep fall overnight.
The market was down on “continued profit-taking, tracing overseas trends,” Freya Natividad, analyst at Papa Securities Corp., said in a text message.
Astro del Castillo, First Grade Finance Inc. managing director, noted that the market has to take a pause given several weeks of a run up.
“The correction was also in tandem with other markets, which are also in the red,” del Castillo said over the phone.
Overseas, Asian shares were down, mirroring the declines on Wall Street overnight, while European markets were heading south in early trading Friday.
“Other markets are also on profit-taking [mode]given lower earnings and a string of bad news,” he added.
On Friday, the Philippine Stock Exchange index (PSEi) lost 31.62 points or 0.46 percent to 6,817.71, while the wider all shares gave up 26.72 points or 0.65 percent to end at 4,086.08.
All throughout the day, “strong support at the 6,800-level was observed,” Natividad said.
Except for financials, which rose 5.27 points or 0.33 percent to 1,606.15, majority of the sectoral indices ended in negative territory.
Property lost 32.47 points or 1.18 percent to 2,721.79, while mining and oil slumped 164.31 points or 1.01 percent to 16,029.88. Holding firms retreated 55.39 points or 0.89 percent to 6,159.73, while services dropped 15.25 points or 0.74 percent to 2,046.96. Industrials edged down 7.53 points or 0.07 percent to 10,361.84.
Trading volume thinned to 1.7 billion shares valued at P10 billion. Decliners outnumbered advancers anew, 125 to 61, while 35 issues were unchanged.
Some of the most actively traded stocks on Friday were BDO Unibank Inc., which gained 0.17 percent to P88.55; Puregold Price Club Inc., down 5.59 percent at P43.90; Philippine Long Distance Telephone Co., down 0.62 percent at P2,890.00; and Ayala Land Inc., down 1.54 percent at P32.05.
Fresh from a year-to-date high, the main index shed 31.11 points or 0.45 percent to 6,849.33 while the wider all shares also ended in the red, down 21.95 points or 0.53 percent at 4,112.80.