Stocks slip as investors cash in

MANILA, Philippines —  Investors yesterday decided to take profits amid economic concerns, cutting short the local stock market’s two-day climb.

The bellwether Philippines Stock Exchange index (PSEi) fell by 0.73 percent or 41.64 points, closing the session at 5,701.54.

The broader All Shares index also slipped by 0.62 percent or 19.76 points to end at 3,183.35.

Philstocks Financial Inc. said the local market declined due to concerns over the Philippines’ economic growth outlook amid rising inflation and mounting expectations of another Bangko Sentral ng Pilipinas (BSP) rate hike in its Oct. 22 meeting.

It said elevated bond yields also pressured the market.

AB Capital Securities said the PSEi was weak throughout the session, but held 5,700 at the close.

It said turnover was subdued, suggesting investors are staying on the sidelines ahead of inflation data in the United States, the GCash IPO listing and the BSP meeting.

Trading was thin as total value turnover stood at P4.29 billion, lower than the previous day’s P6.19 billion.

Foreigners were net sellers, with net outflows at P468.75 million.

“The 5,700 level remains the immediate pivot, but thin turnover offers little evidence of strong dip-buying. A break lower would put 5,580 support back in focus; 5,770 remains resistance,” AB Capital Securities said.

All sectors were in the red, with services and holding firms both losing by 0.85 percent.

Decliners overpowered advancers, 112 to 77, while 59 issues did not change hands.

ICTSI was the most actively traded stock, falling by 1.36 percent to P872 per share. BDO Unibank and Aboitiz Equity Ventures followed, shedding 0.89 percent and 4.41 percent, respectively, to P111 and P39.