Share prices retreat on profit taking

MANILA, Philippines - Share prices declined yesterday as investors deemed it was time to take profits after the Philippine Stock Exchange index (PSEi) surpassed the 8,000-level.

The PSEi declined 43.81 points, or 0.54 percent, to settle at 7,986.25, while the broader All Shares index finished at 4,822.44, down 18.86 points or 0.39 percent.

The rest of the counters closed in negative territory, with the property, services and mining and oil sectors as the biggest decliners.

Total value turnover reached P8.70 billion as advancers edged out decliners 99 to 94 while 49 stocks were left unchanged.

Francisco Liboro, PCCI Securities president said yesterday there would be some profit taking.

In a television interview yesterday morning, Liboro said because the index already breached the 8,000 level, “we might expect some profit talking.”

On Friday, the local stock barometer breached the 8,000 mark, closing at 8,030.06. This was on the back of better second quarter earnings and positive investor sentiments.

PSE president and chief executive officer Hans Sicat said while Asian markets, including the Philippines, benefitted from positive news abroad, moving past the 8,000 level showed that investor confidence in the Philippine market remains high, and provides some early momentum as companies prepare to disclose their mid-year earnings results in the coming weeks.

However, analysts said investors were bound to take profits.