Stocks slip as selling pressure continues

MANILA, Philippines — The local stock market continued to stay in the negative territory, carrying over the selling pressure from last week.

The benchmark Philippine Stock Exchange index declined by 0.21 percent or 12.12 points, opening the week at 5,843.79.

The broader All Shares index also dropped by 0.34 percent or 11.09 points, settling at 3,266.71.

Luis Limlingan of Regina Capital said the local bourse slipped as selling pressure remained intact despite the index holding around the 5,800 level.

He said market participants remained on the defensive as the ongoing exchange of threats between the United States and Iran heightened geopolitical uncertainty and investor caution.

“Concerns over a possible rebound in crude oil prices also kept sentiment subdued, given the potential impact on inflation and economic growth,” Limlingan said.

COL chief technical analyst Juanis Barredo said a possible turning point could be up ahead, or a window for a short-term low.

Barredo said a turning point usually shows between the September and October window, or infrequently in October to November.

“Assuming this turning point appears again, then it could argue for a possible short-term low for the PSEi then, as it is on a downward drift currently and with many hitting or coming from oversold conditions,” Barredo said.

All sectors finished yesterday’s session in the red, except for holding firms, which rose by 1.76 percent. The industrial index took the biggest hit, losing by 1.5 percent, followed by mining and oil, which shed 1.42 percent.

Total value turnover stood at P6.87 billion to open the week.

Decliners pummeled advancers, 115 to 78, while 62 issues were unchanged.

ICTSI was the session’s top traded stock, inching down by 0.77 percent to P898 per share, followed by conglomerates Ayala Corp. and SM Investments, which climbed by 5.13 percent and 1.99 percent, respectively, to P533 and P513.