Bourse retreats for second straight session

INVESTORS cashed in at the start of the week as they began reassessment of trading positions with the end of the third quarter in sight, analysts said, causing the benchmark index to slide for the second straight session.

The Philippine Stock Exchange index (PSEi) slipped by 36.54 points or 0.44% to finish 8,244.73, while the all-shares index similarly slid 15.74 points or 0.32% to end 4,862.65. Four of the six sectoral indices ended lower.

“Philippine shares turned to profit-taking mode as the last week of September started,” said Luis A. Limlingan, business development head at Regina Capital Development Corp.

“Some volatility may be expected this week for the Philippines with a lot of funds wanting to ‘clean’ their portfolios ahead of the end of 3Q17.”

Monday saw 1.59 billion shares worth some P6.76 billion changing hands, compared to Friday’s 3.07 billion worth P6.15 billion.

Net foreign buying was sustained for the fourth straight session, although Monday’s P8.824 million was the smallest in that period.

“Last week, the index was able to register another [intraday] all-time high at 8,321[.81 on Sept. 21] but failed to maintain trading above the 8,300 level,” Mr. Limlingan said, even as he noted that “[t]echnical indicators remain bullish and the index is still above its immediate 8,100 resistance.”

Industrial stocks led Monday’s retreat, giving up 221.11 points or 1.94% to finish 11,178.69. Services followed, sliding by 19.45 points or 1.13% to 1,702.19. Property stocks were next, dropping 41.18 points or 1.04% to 3,911.49, while financials fell by 7.22 points or 0.36% to 1,979.95.

The two sectoral indices that defied the trend were holding firms as well as mining and oil, which gained 61.02 points or 0.73% to close 8,320.19 and 70.36 points or 0.49% to finish 14,205.61.

Other Asian markets bared mixed fortunes, with Japan’s Nikkei 225 and Topix Index as well as the S&P/ASX 200 Index gaining 0.50%, 0.49% and 0.03%, respectively, while Hong Kong’s Hang Seng Index and the Shanghai-Shenzhen CSI 300 yielded 1.36% and 0.52%, respectively.

Monday’s list of the most actively traded stocks saw those that gained led by Apex Mining Company, Inc. (28.65% up to P2.20 apiece); PXP Energy Corp. (27.87% to P9.91); Robinsons Retail Holdings, Inc. (4.62% to P95.20) and SM Investments Corp. (1.62% to P878 each).

Shares that ended lower on Monday were led by Energy Development Corp. (down 15.13% to P6 apiece); Integrated Micro-Electronics, Inc. (6.73% to P18.28); Filinvest Land, Inc. (6.05% to P2.02); and International Container Terminal Services, Inc. (2.46% to P103 each).

“The key [US] economic releases this week are the durable goods report on Wednesday and the personal income and spending report on Friday. There are several speaking engagements by Fed officials this week, including a speech by Chair [Janet] Yellen on Tuesday,” Mr. Limlingan said.