Profit taking, lack of positive news dampen stocks

Profit taking particularly on blue chip stocks and the absence of positive news dragged the main index to its second consecutive day in negative territory.

The Philippine Stock Exchange index declined 0.51 percent or 32.68 points to 6,429.79, while the broader all shares index fell 0.15 percent or 5.67 points to 3,878.82.

“There was profit taking, a consolidation of the market,” said Astro del Castillo, managing director of First Grade Finance Inc. For instance, investors unloaded PLDT stocks following the index heavyweight’s distribution of cash dividends.

“And also, there’s not much news on the horizon to excite investors, which is a good sign for a healthy correction of the market,” Del Castillo said.

Asian stocks retreated anew due to weak retail sales and factory output data in world’s second largest economy China. Japan’s Nikkei 225 lost 0.1 percent or 14.41 points to 14,815.98.

Wall Street was flat as investors focused on developments in Ukraine. The Dow Jones indus- trial average eased 0.07 percent or 11.17 points to 16,340.08, while the broader Standard & Poor’s 500 index added 0.03 percent or 0.57 points to 1,868.20.

At home, most counters were in the red, paced by the service sector that shed 0.80 percent or 15.51 points to 1,915.30. But property firms bucked the trend as it rebounded 1.26 percent or 30.20 points to 2,433.43.

Turnover value slipped to P6.54 billion from P8.58 billion on Wednesday. Decliners outpaced advancers, 79 to 69, while 51 stocks did not change.