PSEi succumbs to profit taking
Local stocks retreated on Tuesday as investors took profits following the recent market surge, although foreign buying helped cushion the decline.
The benchmark Philippine Stock Exchange Index (PSEi) fell 0.43 percent, or 27.13 points, to close at 6,245.75.
Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the PSEi closing remained its highest since March 6, and was still well above its fourmonth low reached on Jan. 29.
According to Philstocks Financial research manager Japhet Tantiangco, last-minute profit-taking dragged the market lower after the index had climbed as high as 6,396.23 during intraday trading.
Investors opted to book gains from the recent market rally, which had pushed the benchmark to its strongest levels in months.
Despite the pullback, Tantiangco said the local bourse managed to stay above the 6,150 support level, a sign that the underlying market strength remains intact.
Luis Limlingan, head of sales at Regina Capital Development Corp., also said the Philippine market opted for profit-taking despite lingering optimism over the reported peace agreement between the United States and Iran, with investors hoping for more stable oil prices and easing inflationary pressures.
Trading activity stayed robust, with net value turnover reaching P7.73 billion.
Foreign investors also continued to support the market, ending the session as net buyers with inflows amounting to P939.97 million.
Sectoral performance was mixed.
Mining and oil stocks led the gains, advancing 2.67 percent.
Banking counters, meanwhile, posted the steepest decline, shedding 1.58 percent.
