PSEi inches up on last-minute bargain hunting

COURTESY OF PHILIPPINE STOCK EXCHANGE, INC.

Philippine shares inched up on Friday on last-minute bargain hunting after investors digested the released inflation print for May, causing the market to move sideways throughout the day.

On Friday, the Philippine Stock Exchange index (PSEi) inched up by 4.47 points or 0.06% to close at 6,796.34, while the all shares index improved by 4.57 points or 0.11% to finish at 4,108.59.

“The local bourse moved sideways this Friday as investors weighed May 2021’s inflation print which stayed at 4.5%, against the country’s COVID-19 (coronavirus disease 2019) daily case counts which is regaining pace,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message, adding that “trading weakened further” on Friday.

Value turnover dropped to P5.92 billion on Friday with 1.54 billion issues traded from the P18.78 billion with 3.71 billion shares switching hands on the previous trading day.

Mr. Tantiangco said the index closed higher “on the back of a last-minute bargain hunting.”

The Philippine Statistics Authority reported on Friday that the country’s inflation print remained unchanged for the third straight month in May at 4.5%. It is, however, quicker than the 2.1% year on year.

The headline figure was within the 4% to 4.8% forecast of the Bangko Sentral ng Pilipinas for the month. It also matched the median estimate of a BusinessWorld poll conducted last week.

Meanwhile, the Health department reported 7,450 new COVID-19 infections on Friday, bringing the country’s tally to 1,255,337. Active cases now stand at 60,794.

Darren Blaine T. Pangan, trader at Timson Securities, Inc., noted that the market “seesawed” throughout the day.

“In the international scene, we see a consistent theme among Asian markets

which ended mixed today, ahead of the US government’s release of their jobs report,” Mr. Pangan said in a separate Viber message.

Sectoral indices were split on Friday. Mining and oil lost 85.97 points or 0.9% to 9,456.51; property fell by 25.7 points or 0.76% to 3,352.01; and industrials inched down by 2.7 points or 0.03% to end at 9,091.67.

Meanwhile, financials went up by 8.56 points or 0.59% to 1,453.85; services improved by 7.02 points or 0.46% to close at 1,527.58; and holding firms gained 24.67 points or 0.36% to 6,854.43.

Advancers bested decliners, 110 against 88, with 48 names unchanged. Net foreign buying went down to P1.07 billion on Friday from the P1.89 billion logged on Thursday.

“Immediate support for the index may be placed at 6,600, while nearest resistance is around the 6,840 level,” Mr. Pangan said. — Keren Concepcion G. Valmonte