MIXED. Profit taking resulted to the negative close of the Philippine Stock Exchange index on Friday (Sept. 29, 2023) and the whole of the third quarter. On the other hand, the peso gained against the US dollar, PHP56.58 from the previous day’s PHP56.98. (PNA graphics)
MANILA – The local index corrected lower on the last day of trading for the third quarter amid “healthy profit-taking” while the Philippine peso closed stronger Friday.
The Philippine Stock Exchange index (PSEi) ended its six-day rally after declining by 64.28 points to close at 6,321.24 level, which Rizal Commercial Banking Corp. chief economist Michael Ricafort considers as “a healthy profit-taking.”
“For the week, the PSEi gained for the second straight week, up for the fourth week in five weeks, by +178.45 points, or 2.9 percent, after the previous week’s +16.45 (points), or +0.3 percent,” Ricafort said.
All Shares likewise fell to 3,400.83 level, shedding 18.38 points.
Among the sectors, only the Mining and Oil counter finished in the green, surging by 267.52 points to 10,794.09.
In turn, the biggest drop came from Industrial sector, plunging by 123.10 points to 8,915.66.
Other decliners are Holding Firms, 48.58 points; Services, 26 points; Property, 18.18 points; and Financials, 0.77 points.
Regina Capital Development Corp. head of sales Luis Limlingan said portfolio managers are monitoring bond movements for their next moves in the local stock market.
“The surge in rates has lingering concerns about recession and sending equities to low levels. Investors will be monitoring the personal consumption expenditures out later today, a good indicator for inflation,” Limlingan said in a statement.
Friday’s net value turnover was active at PHP6.58 billion, with net inflows from foreign buyers at PHP5.49 billion.
Despite the index closing in the red, gainers outnumbered losers at 99 to 92, with 66 firms left unchanged.
Meanwhile, the local currency ended Q3 2023 gaining by 0.40 to close Friday’s trading at 56.58 to a US dollar from the previous closing of 56.98 to the greenback.
It already opened the day strong at 56.75 from Thursday’s kick off at 56.89.
During the trading, the peso further strengthened to 56.52 while maintaining its opening level as its weakest point.
The currency pair traded at an average of 56.66 within the day.
“The peso also stronger after the healthy downward correction in the US dollar versus major global currencies from 10-month highs,” Ricafort said.
“Global crude oil price also recently corrected lower from one-year highs, now at USD91 levels for the Nymex crude oil benchmark down from the immediate high of USD95.03 posted on September 28, 2023,” he said.
Trade volume reached USD1.19 billion, higher than Thursday’s level of USD980.6 million.
“For next week, the peso exchange rate could range at 56.30 to 56.80 levels,” Ricafort added. (PNA)
