Connect with us

Hi, what are you looking for?


Shares decline as trading volume remains low

STOCKS snapped their three-day rally on Tuesday despite a better-than-expected June inflation print on weak trading volume and as investors booked profits from the market’s recent climb.

The Philippine Stock Exchange index (PSEi) shed 43.95 points or 0.62% to close at 6,992.43 on Tuesday. The broader all shares index lost 16.95 points or 0.39% to end at 4,298.66.

“Philippine shares slipped below the 7,000 mark as investors sold on news with the release of June CPI (consumer price index) which was an improvement from the previous reading,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.

“There was very little excitement about the confirmed continuing deceleration of inflation, which means that it was already priced in by the market,” AAA Southeast Equities, Inc. Research Head Christopher John Mangun said in an e-mail.

“Trading volumes remain below the daily average and just about half of what we saw when the market rallied at the beginning of the year. This tells us that risk appetite may be peaking, which is also how the technicals are looking,” Mr. Mangun added.

Value turnover increased to P5.1 billion on Tuesday with 2.51 billion issues traded from the P4.31 billion with 1.79 billion shares switched hands the previous day.

The Philippine Statistics Authority reported that headline inflation stood at 4.1% in June, easing from the 4.5% logged in May and the slowest rate in six months or since the 3.5% recorded in December 2020. However, this was above the 2.5% recorded in June last year.

The June figure was lower than the 4.3% median in a BusinessWorld poll conducted late last week. It likewise fell within the 3.9%-4.7% estimate given by the Bangko Sentral ng Pilipinas for the month, but was still higher than the central bank’s 2-4% target for the year.

“Investors may have chosen to remain on the sidelines while the US markets were closed on Monday,” Timson Securities, Inc. Trader Darren Blaine T. Pangan added in a Viber message.

Majority of sectoral indices closed in the red on Tuesday except for services, which went up by 8.02 points or 0.49% to 1,628.06.

Meanwhile, property went down by 35.15 points or 1.03% to 3,368.25; holding firms declined by 51.78 points or 0.73% to 7,010.53; industrials lost 48.39 points or 0.49% to close at 9,738.24; financials inched down by 3.51 points or 0.23% to 1,512.42; and mining and oil shaved off 9.42 points or 0.09% to 9,867.90.

Decliners beat advancers, 112 against 96, while 52 names closed unchanged.

Net foreign selling slowed to P37.55 million on Tuesday from P82.10 million on Monday.

Timson Securities’ Mr. Pangan expects the index to trade between 6,820 and 7,080 on Wednesday.

“The lack of potentially positive catalysts in the short term will incite profit taking,” AAA Southeast Equities’ Mr. Mangun said. “The PSEi is looking toppish around the 7,000 area and may pull back towards stronger support levels.” — Keren Concepcion G. Valmonte

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



WASHINGTON — President Joseph R. Biden, Jr., on Thursday urged local governments to pay people to get vaccinated against coronavirus disease 2019 (COVID-19), and...


LONDON — Carmaker Volkswagen, plane maker Airbus, and energy major Royal Dutch Shell all posted bumper financial earnings on Thursday reflecting a generally buoyant mood...


More than just a place to eat and sleep, our home should be a sanctuary where we can keep ourselves in the best shape...


Thailand’s Phuket will ban travel from the rest of the country from Aug. 3 to 16 to try to stop a surge in coronavirus...


More than 5 million people had a parcel lost or stolen last year, according to Citizens Advice, which has called on the government to...


The number of people on furlough fell below two million towards the end of June as the economic recovery gathered pace, official figures show....

You May Also Like


Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...


As a traditionally rigid insurance industry becomes bogged down by antiquated processes and operations, a handful of industry leaders are seeking to shake things...


US President Joseph R. Biden, Jr., will rely on ally countries to supply the bulk of the metals needed to build electric vehicles and focus on...


THE Securities and Exchange Commission (SEC) has warned the public from investing or to stop any investment in a group named Maxxprofit Computer Trading...

Disclaimer:, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!