Prices retreat as market enters correction phase

MANILA, Philippines - The local benchmark stock index closed the week in the negative territory for the first time this year as it extended its breather to a second consecutive session yesterday.

The Philippine Stock Exchange index (PSEi) retreated 0.44 percent or 33.82 points at 7,730.57 while the broader all shares index slipped 0.27 percent to end at 4,498.61.

Analysts believe yesterday’s stumble is just a form of correction following the market’s recent bull run toward record levels.

“This will be the market’s first losing week this year and thus may cause some nerves among some — not ours, not yet,” said Justino Calaycay Jr., analyst at Accord Capital Equities Corp.

“To-date, the longest losing streak the index has had lasted only two days. Thus another drop Friday to close out the week shouldn’t be rattling enough to scare off the buyers,” Calaycay added.

Abroad, Japan’s Nikkei fell 0.1 percent while two of the three major indexes in Wall Street ended lower as issues on oil prices continued to affect global markets.

In the local market, most counters were in the red except for industrial firms and the mining and oil counter which picked up 1.67 percent and 0.51 percent, respectively.

Property and financial firms, meanwhile, each suffered losses of more than one percent each.

Decliners continued to dominate advancers, 77 to 103, while 47 shares were unchanged.

Value turnover went up to P14.43 billion from the previous day’s P9.86 billion.