Momentum buying pushed the local market slightly higher on Monday, with investors taking their cue from favorable corporate results with the earnings season in full swing.
“The market was up because of momentum buying, given that companies are expected to announce earnings and investors are waiting for that,” First Grade Finance managing director Astro del Castillo said over the phone.
The Philippine Stock Exchange index (PSEi) rose 23.60 points or 0.35 percent to 6,766.46, while the wider all shares inched up 2.85 points or 0.07 percent to 4,071.63.
Weak manufacturing data from China weighed on the market in morning trade, but Del Castillo said that regardless of its significance, it failed to reverse the positive momentum of local stocks.
“The market moved slower maybe because we are still trying to gauge our way to the 6,800 psychological mark,” he said, adding that Philippines’ overall economic trend remains stable so there is no room to worry about China’s weak data.
Sectoral indices were mixed. Properties led the gainers, closing the session up 21.94 points or 0.83 percent to 2,665.62, followed by holding firms, which advanced 31.29 points or 0.51 percent to 6,166.22.
Financials inched up slightly by 2.72 points or 0.17 percent to 1,603.66, while mining and oil went up by 16.04 points or 0.10 percent or to 16,053.22.
Services and industrials were flat, with services down 1.23 points or 0.06 percent at 2,052.22, while the industrial sector was unchanged at 10,106.03.
The total volume of shares traded on Monday thinned to 1.7 billion shares worth P4.8 billion. Advancers outnumbered decliners 89 to 81, while 47 stocks were unchanged.
Some of the most actively traded stocks were GT Capital Holdings Inc., up 0.11 percent at P880.50; Philippine Long Distance Telephone Co., up 0.07 percent at P2,890; SM Investments Corp., up 3.23 percent at P751; BDO Unibank Inc., down 0.23 percent at P88.50; and Alliance Global Group Inc., down P1.77 percent at P33.45.
Before the noon break a technical glitch occurred, halting trading on the PSE. Trading was halted at 11:01 a.m. and eventually resumed at 1:35 p.m., closing at 3:30 p.m., the regular market trading schedule.
MetroBank Group’s First Metro Securities Inc. said the “PSE halted due to technical problems,” which the PSE has not yet explained.