The local stock market was successful in escaping a looming correction during the Friday morning session and sustained its up-trend for the eighth straight day.
The Philippine Stock Exchange index (PSEi) still managed to make its way to its eight-day run, rising by 0.35 percent, or 21.45 points to 6,191.50.
However, during the early hours of trade, share prices looked poised to snap a seven-session run-up, with the benchmark index shedding as much as 74.46 points in an early rush of profit-taking.
“This in turn presented an opportunity for the bulls, and those who missed the previous rally, to beef up and reposition their portfolio ahead of the release of fourth-quarter 2013 GDP [gross domestic product]possibly next week, among a host of economic data,” Accord Capital Equities Corp. analyst Jun Calaycay said.
As traders and investors took to the one-and-a-half hour lunch recess, nearly all the day’s losses have been recovered on thin, positive market breadth and relatively light value turnover.
“This is a good sign: low activity on the downside—indicating the greater majority that entered the fray and pushed the index higher over the last week-or-so have held on. By the afternoon session, optimists overwhelmed their counterparts, pushing the PSEi close to the 6,200-[point]line. More importantly, this extends the rally further to an eight-day running, wiping out nearly all the losses sustained last December,” Calaycay further said.
The wider all-shares index also ended in positive territory with a 0.35-percent gain, or 9.41 points to 3,748.77.
Among the sectors that gained, mining and oil ended with the largest improvement, rising by 1.42 percent, or 198.30 points to 14,155.58, followed by holding firms, which went up by 1.18 percent, or 65.54 points to 5,609.11. Property gained by 0.73 percent, or 17 points to 2,339.58.
However, some of the sectors ended up a few losses. Services went down by 0.82 percent, or 15.79 points to 1,907.70, while financials dropped by 0.29 percent, or 4.41 points to end at 1,532.50. Industrial dipped by 0.05 percent, or 4.83 points toward 9,119.02.
Total value turnover was at P7.32 billion with losers beating gainers, 79 to 76, while 43 issues were unchanged.
Some of the most actively traded stocks on Friday were BDO Unibank Inc., Metropolitan Bank and Trust Co., SM Prime Holdings Inc., SM Investments Corp., Philippine Long Distance Telephone Co., Universal Robina Corp., Ayala Land Inc., Metro Pacific Investments Corp., Alliance Global Group Inc. and Globe Telecom Inc.
On Thursday, the PSEi went up for the seventh straight day, rising by 0.49 percent, or 30.19 points to 6,170.05, while the wider all-shares index went up by 0.55 percent, or 20.33 points to 3,739.36.