PHILIPPINE SHARES continued to climb on Monday as bargain hunting continued, but investors stayed cautious due to a lack of fresh leads and lingering geopolitical and macroeconomic risks.
The bellwether Philippine Stock Exchange index (PSEi) went up by 0.74% or 42.19 points to close at 5,743.18, while the broader all shares index rose by 0.35% or 11.26 points to 3,203.11.
The PSEi opened Monday’s trading session at 5,727.65, higher than Friday’s close of 5,700.99. This was already its lowest showing. Meanwhile, it touched an intraday high of 5,769.29.
“The PSEi ended higher as bargain hunting continued from last week’s rebound. However, market sentiment still looks fragile, with the index hovering around the 5,700 level amid a lack of sustained positive catalysts, as selective buying still prevails across the broader market,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message. “Continued geopolitical uncertainty and lingering macroeconomic risks may weigh on investor confidence and limit the index’s recovery in the near term.”
“The local market extended its gains today as investors continued with their bargain hunting. This is amid the headwinds that are still at play including elevated global oil prices and bond yields, as well as concerns for the local economy’s growth and inflation outlook,” Philstocks Financial, Inc. Research Manager Japhet Louis O. Tantiangco said in a Viber message.
Oil prices eased despite strikes on shipping and airports in the Gulf after US President Donald J. Trump unveiled an energy-related ceasefire between Ukraine and Russia and proposed that Moscow increase diesel exports, Reuters reported. Details, however, remained unclear and the plan faced political opposition in Washington.
Brent started higher in Asia before turning lower and was recently down 0.3% at $104.37 a barrel, below a recent top of $109.97, while US crude futures lost 0.6% to $91.33.
Back home, four of six sectoral indices closed in the red. Financials sank by 1.07% or 18.95 points to 1,753.15; property dropped by 0.33% or 5.85 points to 1,751.56; mining and oil fell by 0.31% or 59.24 points to 19,212.01; and industrial went down by 0.15% or 11.11 points to 7,422.95.
Meanwhile, services advanced by 1.97% or 59.88 points to 3,092.25, and holding firms climbed by 1.7% or 71.33 points to 4,277.48.
“Aboitiz Equity Ventures, Inc. was the day’s index leader, climbing 4.62% to P40.80. DigiPlus Interactive Corp. was the main index laggard, plunging 9.38% to P7.44,” Mr. Tantiangco said.
Advancers outnumbered decliners, 103 to 87, while 55 names were unchanged.
Value turnover fell to P6.19 billion on Monday with 513.66 million shares traded from the P7.82 billion with 630.34 billion issues that changed hands on Friday.
Net foreign selling rose to P332.6 million from P133.08 million. — Alexandria Grace C. Magno