Share prices slip on profit-taking

The stock market slipped yesterday after rising for three consecutive days as investors cashed in on their profits on the last trading day of the week.

The Philippine Stock Exchange index (PSEi) settled at 6,873.23, down by 0.13 percent or 8.92 points.

The All Shares index also went down by 0.11 percent or 3.88 points, closing at 3,597.67.

“The local bourse concluded the last trading day of the week in the red as investors cashed in their gains,” Luis Limlingan of Regina Capital said.

He said stateside retail sales dropped by 0.8 percent in January, which is “worse than the 0.3 percent decline expected by economists.

Moreover, gold prices declined following the decrease in bond yields and dollar.

“On the other hand, oil prices rebounded from the prior declines due to the weak demand forecast this year,” Limlingan said.

Brent contract and WTI contract settled higher by 1.54 percent to $82.86 per barrel and 1.81 percent to $78.03 per barrel, respectively.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the slight correction is considered a healthy profit taking as the PSEI has gained for the fourth straight week.

Ricafort said ongoing retail Treasury bond offering could siphon off some of the excess liquidity from the financial system.

The local counters were mixed as holding firms, mining and oil, as well as property tumbled, while services, industrial and financials gained.

Market breadth was positive as advancers led decliners, 85 to 83, while 65 issues were unchanged.

International Container Terminal Services, Inc. was the top traded stock on Friday as it gained 2.56 percent to P280 per share.