Last-minute buying buoys share prices

The stock market eked out a slim victory yesterday due to last-minute bargain hunting.

The Philippine Stock Exchange index improved by 0.04 percent or 2.45 points to close at 6,967.96, extending its winning streak to three consecutive days.

However, the broader All Shares index finished in the opposite direction, dropping by 0.10 percent or 3.46 points to settle at 3,610.74.

Philstocks Financial research and engagement officer Mikhail Plopenio said investors looked for bargains at the last minute of yesterday’s session.

He said foreign funds also contributed to the bourse’s climb as foreigners were net buyers with net inflows amounting to P630.22 million.

“The market’s sideways movement this Thursday is seen to reflect investors’ cautiousness while waiting for the US’ producer price index which can give clues on the Federal Reserve’s policy outlook,” Plopenio said.

Plopenio said net market value turnover was strong at P6.69 billion, higher than the year-to-date average of P4.75 billion.

However, only two sectors – property and holding firms – were in the positive territory, gaining 0.48 percent and 0.41 percent, respectively.

The mining and oil sector suffered a huge blow as it plunged by 2.18 percent, followed by industrial which declined by 0.63 percent.

Market breadth was negative as decliners crushed advancers, 119 to 84, while 41 issues were unchanged.

Bloomberry Resorts registered the biggest gain of 2.43 percent among the index members, while Emperador lost the most with a 4.65-percent drop.

Across Asia, stocks were mixed yesterday after a tepid day on Wall Street, with traders looking forward to a string of US data that could help sway Federal Reserve officials ahead of their policy meeting next week.

While a hot consumer price index reading earlier this week did not rock optimism that interest rates will come down this year, analysts warned that could be tested if the producer price index (PPI) comes in above forecast later in the day.

However, they also said equities could be range-bound until the Fed’s gathering is over.