PSEi pulls back from recent highs

MANILA, Philippines – After hitting a new record high Thursday, the benchmark Philippine Stock Exchange index (PSEi) pulled back yesterday as investors opted to take profits.

The PSEi declined 76.95 points, or 0.95 percent, to end at 8,025.35 while the broader All Shares index was down by 34.11 points or 0.70 percent.

Most counters ended in negative territory except for the mining and oil index, which gained 79.02 points or 0.71 percent to end at 11,242.05.

Total value turnover reached P7.75 billion as advancers edged out decliners, 113 to 95 while 43 stocks were left unchanged.  

Analysts said investors opted to take some profits and stay on the sidelines following a meeting of the European Central Bank (ECB).

ECB’s monetary authorities decided to keep interest rates unchanged at record lows but officials said the central bank would be ready and willing to help the eurozone economy.

At the same time, it said it needed more time to monitor the situation.

On Thursday, the PSEi reached a new 15-month high of 8,102.30, up 50.33 points or 0.62 percent.

This was the highest since April 10, 2015 when the PSEi finished at an all-time high of 8,127.48.

PSE president Hans Sicat expressed hopes that investors would remain confident in the market especially as the Philippine economy continues to outperform its peers.

Expectations of better second quarter earnings would also likely be a big boost to the market, Sicat said.