Stocks tumble on profit taking

The benchmark Philippine Stock Exchange index (PSEi) tumbled for the fourth straight day yesterday, falling by 89.68 points to settle below the 8,000 level at 7,920.24.

Likewise, the broader All Shares index was down 46.42 points or 0.95 percent to finish at 4,811.99.

Similarly, most of the sectoral indices were down as well, suffering heavy losses. Among the decliners were services, financials, mining firms and the property.

Total value turnover was P7.27 billion. Market breadth was negative, 134 to 75 while 50 issues were left unchanged.

According to COL Financial, there was no underlying reason for the four consecutive days of drop and is likely just because of profit-taking.

“The local bourse fell below the 8,000 key support level on the back of profit taking amid lack of a strong catalyst. The PSEi closed at 7,920.24, shedding 89.68 points or 1.12 percent. Miners were the only survivors in yesterday’s selloff, gaining 0.49 percent. All other declines with the services taking the lead, losing 1.45 percent,” said Philstocks Financials.

It noted that Asian markets, on the other hand, advanced, back by optimism on US-China Trade relations.

Despite the strong finish of US markets, the index suffered its first net foreign selling day since Jan. 16 with net foreign selling at P246 million yesterday.