LOCAL equities were marginally higher on Tuesday as Wall Street’s record performance overnight helped underpin sentiment given the lack of incentives on the domestic front.
The Philippine Stock Exchange index (PSEi) gained 12.43 points or 0.17 percent to 7,204.55 while the wider All Shares inched up 3.47 points or 0.08 percent to 4,237.67.
US markets were up overnight, buoyed by positive earnings. The Dow Jones Industrial Average gained 39.81 points or 0.2 percent, the S&P 500 added 6.34 points or 0.3 percent, and the tech heavy Nasdaq was up 19.08 points or 0.41 percent.
Justino Calaycay Jr. of Accord Capital Equities Corp. said that the benchmark index was supported to some extent by optimism from Wall Street’s gains given the lack of inducement from the third quarter earnings of locally listed firms.
“Quarterly earnings have been quite decent, although banks’ results for the year to date continue to show the impact of a slower first quarter and the absence of trading gains. The quarter-on-quarter and year-on-year improvements, however, should lend optimism in the final quarter run,” he added.
Calaycay said the market has had difficulty in sustaining the gains sparked by anticipation of the third quarter earnings season.
“While the anticipated push from earnings did happen in the week prior to the releases, sustaining the gains has become the concern. It appears that after losing its footing with PLDT’s result last week, investors have grown apprehensive and quick to book profits,” Calaycay said.
“On a positive light, the PSEi, save for Monday’s close, has been able to hold above the 7,200-line even as trades thin out. This theme will carry on for the balance of the current week until and unless fresh impetus surfaces,” he added.
Mining and oil and financials ended in the red while the rest of the sectors finished firmer. Mining and oil lost 157.34 points or 1.03 percent to 15,187.87 while financials edged down 0.36 points or 0.02 percent to 1,690.97.
Among the gainers, industrials were up 11.40 points or 0.10 percent to 11,616.47, holding firms inched up 2.50 points or 0.04 percent to 6,344.03, services added 1.92 points or 0.09 percent to 2,125.98 and property rose 15.97 points or 0.57 percent to 2,840.90.
Among the top-traded stocks, Bloomberry Resorts Corp. fell P1.06 or 7.5 percent to close at P13.12. The top gainers were PLDT, Ayala Land, Energy Development Corp., Robinsons Retail Holdings Inc. and Metrobank, while Ayala Corp. ended flat.
Besides Bloomberry, the other top losers were BDO Unibank Inc., SM Investments Corp and Universal Robina Corp.
Decliners outnumbered advancers 96 to 89, while 40 shares were unchanged. Shares traded totaled 3.29 billion, valued at P12.4 billion.
On Monday, the main index fell 13.60 points or 0.19 percent to 7,192.12, while the All Shares index was down 9.48 points or 0.22 percent at 4,234.20.
Kristyn Nika M. Lazo