Philippine shares began the first full week of 2014 on the green side, amid lack of catalysts for the benchmark index to go up or down.
Jose Vistan, research director of AB Capital Securities, said in a phone interview that the market went up, almost touching the 6,000-point resistance level, because investors are still optimistic about the country’s overall economic fundamentals.
“The market is still feeling the holidays. There was also no catalyst [to either drive or upset the market],” he said.
“The market is just going through the motions,” Vistan added.
The Philippine Stock Exchange index (PSEi) went up on Monday, rising by 0.64 percent, or 37.88 points to 5,985.81, while the wider all-shares index went up by 0.62 percent, or 22.53 points to 3,670.44.
All the sectoral indices also posted modest gains with mining and oil having the largest improvement, climbing by 1.04 percent, or 131.96 points to 12,754.24.
Next to mining and oil was industrial, which gained 0.92 percent, or 81.39 points to 8,975.94, and holding firms, which increased by 0.80 percent, or 43.45 points to 5,477.99. The financials counter also ended in positive territory with a 0.72-percent gain, or 10.49 points to 1,471.64,while property went up by 0.34 percent, or 7.59 points to 2,247.26.
Market breadth was a bit negative as total value turnover thinned at P4.9 billion. Advancers, however, outnumbered decliners, 97 to 59. Thirty-nine issues were unchanged.
Some of the most actively traded stocks on Monday were BDO Unibank Inc., Philippine Long Distance Telephone Co., Universal Robina Corp., Metropolitan Bank and Trust Co., Robinsons Retail Holdings Inc., SM Prime Holdings Inc., Metro Pacific Investments Corp., Ayala Corp., Alliance Global Group Inc. and Ayala Land Inc.
The optimism within the market that started as early as the first trading day of the year on Thursday didn’t extend up to the second trading session or on Friday. This is because the overall sentiment in other regional markets went moody after an overnight profit-taking occurred in Wall Street.
The PSEi slipped on Friday, falling by 0.61 percent, or 36.33 points to 5,947.93, while the wider all-shares index went down by 0.30 percent, or 10.92 points to 3,647.91.