(UPDATE) Stocks decline on profit taking

MANILA, Philippines (Xinhua) - The stock market closed today's session lower on profit taking.

The bellwether Philippine Stock Exchange index lost 0.21 percent or 14.29 points to 6,853.07, while the broader all-share index slipped by 0.15 percent or 6.21 points to 4,106.37.

Trading volume reached 589 million shares worth P5.26 billion ($121 million) with 94 stocks declining, 72 advancing, and 52 unchanged.

Of the six counters, only the financials and the mining and oil sectors bucked the trend.

"Investors extended its profit-taking, pulling down the PSEi," Joyce Anne Ramos of AB Capital Securities, Inc. said in her daily stock market comment.

The local bourse has started the week by extending its decline from last week as investors opted to cash in their gains due to lack of trading leads as well as concerns over expensive valuation.

During the midweek however, it managed to find support at the 6, 816 level, thereby recording a minimal gain on Tuesday on the back of last minute bargain-hunting.

By the end of the week, the index managed to shed off only 48. 02 points or 0.70 percent.

"While we await the domestic corporate earnings season, we advise investors hunt for bargain stocks, take cautious positions, and range trade as the market may resume the retesting of 7,000 should the earnings be positive, but may breach the support at 6, 800 to revisit 6,700 should global sentiment continue to worsen," Ramos said.

Stocks in the 30-company index closed mixed. Investors picked up shares of Ayala Corp. and Globe Telecom, Inc. but sold down their heavyweight Philippine Long Distance Telephone Co. shares.