Index retreats from record intra-day high

MANILA, Philippines - The stock market rose to a new high earlier in the day but erased the gains in the afternoon session.

Analysts said the market seemed to have given former president Benigno Aquino III a warm send off but uncertainty took over in the afternoon as the country’s 16th President Rodrigo Duterte was sworn into office yesterday.

The benchmark Philippine Stock Exchange index shed 2.28 points, or 0.02 percent, to close at 7,796.25 after breaking past the 7,900 line earlier in the day.

The index surged to its highest intraday level for the year at 7,980.75.

On the other hand, the broader All Shares index gained 53.84 points or 1.15 percent to finish at 4,720.65.

Total value turnover reached P15.67 billion. Decliners won over advancers, 99 to 97 while 46 stocks were left unchanged.

“The benchmark PSEi easily broke past the 7,900 line marking at least 13 percent in the year to date gains. At the noon break, the index stood at 7,974.54, up 176.01 points or 2.26 percent up over the previous day and nearly 15 percent on the year to date,” said Justino Calaycay of A&A Securities.

It would have been the 15th biggest single day gain since as far back as 1990.

However, the narrative changed in the afternoon session.