PSE index drops on last-minute profit taking

PHILIPPINE STOCKS retreated on Tuesday due to last-minute profit taking after the index hit the 7,000 level intraday for the first time in almost a month, and amid expectations that inflation picked up further in March.

The Philippine Stock Exchange index (PSEi) dropped by 0.27% or 19.38 points to end at 6,960.43 on Tuesday, while the broader all shares index fell by 0.26% or 9.69 points to close at 3,626.71.

“This Tuesday, the local market dropped by 19.38 points (-0.28%) to 6,960.43 due to last-minute profit taking,” Philstocks Financial, Inc. Research and Engagement Officer Mikhail Philippe Q. Plopenio said in a Viber message.

The PSEi opened Tuesday’s session at 7,016.93 and hit an intraday high of 7,070.72. This was the first time the main index rose to the 7,000 level since March 4, when it recorded a high of 7,021.04 during the session.

“Investors seemed to have priced in the likelihood that March inflation has accelerated and possibly even exceeded the government’s target range of 2% to 4%. This comes after the Bangko Sentral ng Pilipinas projected inflation to settle within 3.4% to 4.2%,” Mr. Plopenio said.

The Philippine Statistics Authority will release March inflation data on Friday.

“Adding to the woes was the slowdown of the local manufacturing sector’s expansion for March as seen in the S&P Global Philippines Manufacturing Purchasing Managers’ Index reading of 50.9, slower than February’s 51,” he added.

Regina Capital Development Corp. Head of Sales Luis A. Limlingan added that Wall Street’s performance overnight also affected market sentiment.

US stocks edged lower on Monday, dragged down by investor worries over the timing of interest rate cuts by the US Federal Reserve after stronger-than-expected manufacturing data pushed Treasury yields higher, Reuters reported.

The Dow Jones Industrial Average fell 240.52 points or 0.6% to 39,566.85; the S&P 500 lost 10.58 points or 0.2% to 5,243.77; and the Nasdaq Composite gained 17.37 points or 0.11% to 16,396.83.

At home, sectoral indices were mixed. Financials retreated by 1.07% or 22.09 points to 2,042.83; holding firms went down by 0.85% or 55.91 points to 6,518.54; and property declined by 0.05% or 1.48 points to 2,847.66.

Meanwhile, services rose by 1.47% or 27.30 points to 1,883.33; mining and oil climbed by 0.4% or 32.48 points to 8,157.85; and industrials went up by 0.02% or 1.92 points to 9,053.22.

“Among the index members, Monde Nissin Corp. was at the top, climbing 5.82% to P11.28.

San Miguel Corp. lost the most, dropping 3.99% to P103.40,” Mr. Plopenio said.

Value turnover rose to P6.54 billion on Tuesday with 715.07 million issues switching hands from the P5.49 billion with 1.19 billion shares traded on Monday.

Decliners outnumbered advancers, 105 versus 88, while 45 issues closed unchanged.

Net foreign buying climbed to P781.54 million on Tuesday from P464.45 million on Monday. —

CYBER INSURANCE

Meanwhile, BPI said in a separate statement on Tuesday that it is offering personal cyber insurance to its debit card holders for protection against unauthorized transactions and lost cards.

“Ensuring the peace of mind of our valued BPI Debit Cardholders is our utmost priority with the introduction of Personal Cyber Insurance. This innovative offering provides enhanced security and protection for their daily transactions, underscoring our commitment to their financial well-being,” Unsecured Lending and Cards Product & Sales Head Jenelyn Z. Lacerna said.

The BPI MS Personal Cyber Insurance is available for a fee starting at P700 annually.

It covers e-commerce purchase protection, which reimburses customers for items bought online that are accidentally damaged, undelivered or come from fraudulent sellers.

The insurance also protects customers from unauthorized or fraudulent transactions made via lost cards for up to 12 hours prior to the report of the incident.

BPI MS Personal Cyber Insurance also protects customers from unauthorized third-party transfers.

BPI Debit cardholders can select from a range of coverage options, depending on their needs. Clients may also opt for recurring payments to automatically renew their coverage.

“The launch of BPI’s Personal Cyber Insurance signifies the bank’s unwavering commitment to ensuring the financial security and overall well-being of its clients amid the dynamic landscape of digital transactions,” the bank said.

“Building upon the robust security features already embedded within the BPI Debit Card, this innovative insurance offering serves to fortify and enhance the existing safeguards, providing an extra layer of protection against evolving cyberthreats,” it added.

BPI’s attributable net income rose by 61.13% year on year to P54.82 billion in 2023.

Its shares dropped by P1.10 or 0.93% to close at P117 apiece on Tuesday. —