Selling pressure sends index down for 4th straight day

MANILA, Philippines — Local share prices fell for the fourth straight day yesterday as investors remained cautious and jittery over the COVID-19 situation especially with the new variant from the UK.

The benchmark Philippine Stock Exchange index (PSEi) closed at 7,143.30, down 55.15 points or 0.76 percent, while the broader All Shares index slipped 19.62 points or 0.45 percent to end at 4,300.12.

Most of the other gauges finished in the red except for the services index.

Total value turnover reached P13.10 billion. Market breadth was negative, 137 to 91, while 40 issues were unchanged.

The PSEi continued lower as investors turned more cautious, resulting in a pickup of selling pressure, said Chris Mangun of AAA Southeast Equities.

Ayala-led blue chips Ayala Corp., Ayala Land Inc. and BPI took the biggest losses and dragged the whole index lower, Mangun said.

However, last-minute buying allowed the main index to recover most of its losses in early trading.

“Investors are now wondering whether they jumped the gun with regards to the rally that we saw at the end of last year. The 7,000 psychological support level will play a big factor as it is currently the 50-day moving average. If the PSEi breaks below this level in the coming days, we may see a wave of selling pressure that could send it much lower,” Mangun said.Most active during yesterday’s session were Apollo Global Capital Inc. which rose 19.67 percent; Abra Mining and Industrial Corp., which went up 44.47 percent, MRC Allied Inc. which gained 15.79 percent; Premiere Horizon Alliance Corp., which rose 8.39 percent and Basic Energy Corp. which declined 4.84 percent.