PSEi back to the doldrums; rate cut comes too late

Profit taking early in the trading day quickly snapped the two-day winning streak of the benchmark stock index on Thursday, with the surprise interest rate cut optimism coming in too late.

By the end of the session, the Philippine Stock Exchange Index (PSEi) lost 0.68 percent, or 41.34 points, to 6,057.40.

Likewise, the broader All Shares Index shed 0.48 percent, or 17.64 points, to close at 3,667.01.

A total of 5.35 billion shares worth P6.51 billion changed hands, stock exchange data showed.

The index ended its brief stay in the green territory as investors took advantage of the price surge, opting to sell their stocks and pocket gains, said Luis Limlingan, head of sales at stock brokerage house Regina Capital Development Corp.

The Bangko Sentral ng Pilipinas’ surprise move to cut rates by 25 basis points to 4.75 percent came just before the market closed. However, optimism from this will be felt moving forward, according to Limlingan. (See related story on B1.)

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BDO Unibank Inc. was the top-traded stock as it shed 2.57 percent to P136.40. International Container Terminal Services Inc., down 0.38 percent to P526; Philex Mining Corp., a rare gainer that went up by 3.17 percent to P10.42; SM Investments Corp., down 0.14 percent to P734; and Bank of the Philippine Islands, down 1.1 percent to P107.50 each.

Others were: DigiPlus Interactive Corp., down 4.13 percent to P24.40; Ayala Land Inc., down 1.27 percent to P23.25; Metropolitan Bank and Trust Co., down 2.42 percent to P68.50; Ayala Corp., down 1.02 percent to P485; and PLDT Inc., down 0.36 percent to P1,106 per share.

Losers overpowered gainers, 135 to 72, while 55 companies closed flat, stock exchange data also showed.