PSE Index Recovers As Bullish Sentiments Prevail

The Philippine Stock Exchange (PSE) index recovered today, closing slightly higher at 7,415.73 points, up by 15.40 points or 0.21 percent, despite an earlier shock decline to 7,393.15 points due to profit-taking.

The Philippine Stock Exchange (PSE) Index, October 18, 2024

Bullish sentiments persisted, with second and third-liners attracting investor attention and posting higher share prices.

The financial sector posted gains, rising by 0.44 percent, driven by higher bank profits following a drop in interest rates. Services rose by 0.07 percent, property gained 0.61 percent, and mining and oil advanced by 0.76 percent.

Holding firms, including market bellwether SM Investments, which remained unchanged at P962, declined by 0.13 percent, while the industrial sector lost 0.19 percent.

Value turnover was above average at P6.35 billion, with foreign trades accounting for two-thirds of the volume. Foreign investments gained momentum, with net foreign buying reaching P173 million, based on foreign purchases of P2.073 billion and foreign sales of P1.903 billion.

Many second and third-liners saw gains as investors sought potential trading profits. Companies such as Figaro Coffee, DoubleDragon, Axelum, and Shang Properties were among those that posted share price increases.

There were a total of 103 gainers, 91 losers, and 62 unchanged shares. Market analysts view the past three trading losses as a correction phase in the ongoing bull run.

The resistance level at 7,500 points, which has been breached twice, is now the new focus for traders, with speculation about when the index will surpass this level. Support is still seen at 7,000 points.

Among the gainers were ICTSI, BDO Unibank, and Ayala Land, the top three traded stocks. Other gainers included AREIT, Cebu Landmasters, Mreit, Robinsons Land, Cebu Air, and Belle Corp.

Bloomberry, SSI Group, Apex Mining, OceanaGold, Philex Mining, Oriental Petroleum, Philodrill, SM Prime, Bank of the Philippine Islands, PLDT, Megaworld, East West, Metrobank, D&L Industries, Monde Nissin, Alliance Global, Cosco Capital, LT Group, and Ayala Corp also rose.

Among the losers were Manila Water, Puregold, Security Bank, PNB, Acen Corp., Aboitiz Power, Citicore RE, Emperador, Century Food, Ginebra, Jollibee Foods, CEMEX Holdings, GT Capital, Universal Robina, Megawide, Abacore, Aboitiz Equity, and Globe Telecom.

The unchanged stocks included SM Investments, Alternergy, Basic Energy, JG Summit, PAL, Keeper Holdings, DMC Holdings, Philseven, Wilcon Depot, and Atlas Mining.