PHILIPPINE shares retreated on profit-taking in Monday morning trade following Friday’s gains. Most investors stayed on the sidelines ahead of President Rodrigo Duterte’s second state of the nation address (SONA), which is scheduled to start after the market has closed.
The benchmark index slipped 0.28 percent or 22.35 points to finish the morning session at 7,967.38. The wider All Shares dropped 0.23 percent or 10.96 points to 4,760.68.
“There was a little of a buy-up on Friday’s close so there’s obvious profit-taking,” Regina Capital Development Corp. said in a market note during the morning session.
“Plus they want to wait for what President Duterte will discuss in the SONA,” the note added.
Harry Liu, President of Summit Securities, Inc., said the movement in prices was purely technical, given that the market closed more than 1 percent higher on Friday.
“The President’s speech seems to have nothing negative,” Liu said, referring to its anticipated impact on market sentiment. “The market is just doing the same thing — resistance-support behavior, and waiting for the SONA.”
Nearly all market indices were in the red. Mining and Oil posted the biggest decline (-1.04 percent), followed by Property (-0.46 percent), Financials (-0.30 percent), Holding Firms (-0.25 percent), and Industrials (-0.16 percent).
Services posted insignificant gains of 0.06 percent.
Henry Sy’s SM Prime Holdings posted the biggest loss of 2.01 percent, while Philippine Estates Corp. surged 13.73 percent, although the gain was not enough to save the sector from slipping into negative territory .