PSE Index Still Struggling Against Continued Foreign Selling

The Philippine Stock Exchange (PSE) index continued its decline, losing 37.17 points or 0.53 percent to close at 6,940.01 points, slightly above its intraday low of 6,900.93 points after a late reversal in the financial sub-index.

The Philippine Stock Exchange (PSE) Index, November 11, 2024

Financials were the only sub-index to post a gain, rising 0.31 percent, with top-traded BDO Unibank adding P2 to close at P149. Industrials declined by 0.90 percent, holding firms by 0.74 percent, services by 0.61 percent, and mining and oil and property by 2.61 percent and 0.52 percent, respectively.

Foreign investors were net sellers, with foreign buying at P1.512 billion against foreign selling of P2.252 billion, resulting in a net foreign selling position of P740 million.

Local investors accounted for a minimal share of about 2 percent, staying on the sidelines as the PSE index fell below its 7,000-point support level, with the next support level only 140 points away.

The lack of market catalysts, combined with the economic after-effects of recent typhoons that destroyed infrastructure and flooded agricultural lands, has contributed to the bearish sentiment.

Analysts also cite uncertainty around the next Trump administration, which has led to a perceived lack of interest in the local market. SM Investments, a market bellwether, saw its share price dip to a low of P902.50 before recovering slightly to close at P915, losing P1 overall.

In total, there were 70 gainers, 118 losers, and 55 unchanged. Value turnover was only P3.84 billion, with foreign trades accounting for 98 percent.

The gainers included Ayala Land, Aboitiz Power, PSE, Manila Water, Keepers Holdings, Cosco Capital, Converge, Wilcon Depot, Philweb, Robinson's Retail, Oceana Gold, SMC Food and Beverage, LT Group, and Asiabest Holdings.

Lepanto A, Citicore RE, Synergy Grid, CEMEX Holdings, GT Capital, Megaworld, Robinsons Land, Cebu Air, PAL, Security Bank, PNB, and DoubleDragon also ended the day in the green.

On the other hand, ICTSI, SM Prime, Aboitiz Equity, Universal Robina, JG Summit, Emperador, China Bank, Metrobank, ACEN Corp., Shell Pilipinas, First Gen, Meralco, Petron, and Century Food were down.

Figaro Coffee, Monde Nissin, Vitarich, Abacore, Ayala Corp., Areit RT, RL Commercial, ABS-CBN, GMA-7, Dito CME, Puregold, Belle Corp., Apex Mining, DigiPlus, Atlas Mining, Philex Mining, Nickel Asia, MerryMart, and United Paragon, also ended the day in the losers column.

The unchanged stocks included Bank of the Philippine Islands, East West Bank, Union Bank, Basic Energy, SPNEC, AgriNurture, Axelum, Haus Talk, Bloomberry, Jollibee Foods, San Miguel, Citicore RT, and Boulevard Holdings.