Index sustains slide on fading optimism
MANILA, Philippines — The benchmark Philippine Stock Exchange index was battered again yesterday, losing 95.58 points, or 1.25 percent ,to finish at 7,535.32. The broader All Shares index, however, managed to gain by 43.24 points or 0.94 percent.
The rest of the indices also incurred big losses.
Traders said the optimism on the trade war truce between the US and China has already faded. Total value turnover, meanwhile, reached P7.186 billion and market breadth was negative, 113 to 74.
Commenting on the session, Arbee Lu of Papa Securities said despite today and yesterday’s declines, the PSEi is still trading well within its uptrend channel and has room to correct without breaking down until 7,381 .
“We continue to view this as an opportunity to recalibrate holdings in preparation for the next upswing,” Lu said.
Yesterday’s gainers were FGen, which rose 4.8 percent, LT Group, which gained 2.4 percent and Security Bank, which was up 1.3 percent.
“This is the second day straight that FGen has bucked the trend and stayed the top gainer. Its partnership with Tokyo Gas in pursuit of building an LNG terminal appears to have been the catalyst as this should ensure its ability to maintain a stable fuel source upon Malampaya’s depletion,” Lu said.
Meanwhile, US stock futures and Asian shares slumped on Thursday after Canadian authorities arrested a top executive of Chinese tech giant Huawei for extradition to the United States, feeding fears of a fresh flare-up in tensions between the two superpowers. – Reuters