Index dips below 8,000 as traders take profits

MANILA, Philippines — The stock market headed into the weekend on a sour note as investors decided yesterday to take profits.

The Philippine Stock Exchange index dropped by 0.72 percent, or 57.93 points, to close  at 7,999.71.

The broader All Shares index suffered the same fate, losing 0.62 percent, or 30.53 points, to settle at 4,893.78.

“Markets succumbed to profit taking with all eyes focused on US financial stress test and G20 watch,” Regina Capital’s Luis Limlingan said.

“Looks like there was window undressing instead of window dressing today. Risk-off movement could also be attributed to anticipating results of the G20 summit over the weekend,” Papa Securities’ Gabriel Jose Perez said separately.

The mining and oil index was the sole counter that finished in the green, increasing by 0.85 percent, while the rest were all in the negative territory.

Leading those in the red were industrial and financials which fell 1.45 percent and 1.06 percent, respectively.

Trade volume was high at P19.5 billion, a large chunk of which could be attributed to the BDO placement worth around P11 billion.

Market breadth was negative, with decliners crushing advancers, 107 to 89, while 53 stocks were unchanged.

With the index closing below the 8,000 support yesterday, Perez said bias could be a move to its next support at 7,830 next week.

“That still all depends on any potential trade war developments we see over the weekend,” he said.