PSEi snaps 3-day climb on profit-taking
Philippine stocks retreated on Thursday as investors locked in gains following a three-day rally, while renewed tensions between the United States and Iran dampened risk appetite and revived concerns over oil prices.
The benchmark Philippine Stock Exchange Index (PSEi) retreated by 0.69 percent or 41.24 points to close at 5,911.93. The broader all shares index also slipped as most sectors ended in negative territory.
Brokerage Philstocks Financial Inc. said sentiment weakened after reports that Israel and the United States were prepared to launch further strikes against Iran if necessary, following Tehran’s latest attacks.
The development fueled worries that crude oil prices could rise anew, adding pressure on inflation-sensitive markets.
“Investors remained selective in their positioning as they awaited the release of the latest inflation data tomorrow,” said Luis Limlingan, head of sales at Regina Capital Development Corp.
“Cautious sentiment kept overall trading activity measured, with market participants looking for clues on the direction of interest rates and the broader economy,” he said.
Trading activity remained subdued. Net value turnover reached only P6.14 billion, reflecting cautious participation from investors.
Foreign funds likewise stayed on the sidelines, ending the session as net sellers with outflows amounting to P298.93 million.
Among sectoral indices, banks stood out as the lone gainer, advancing 1.29 percent.
The services sector suffered the steepest decline, dropping 2.23 percent, while the remaining sectors also finished lower.
Market breadth was likewise weak as decliners outpaced advancers.
