PSEi down for 2nd day on cautious sentiment

Stocks closed marginally lower for a second day as investors wait for more first quarter corporate earnings results and significant progress on the government’s efforts to address the COVID-19 pandemic.

The benchmark 30-company at 6,359.15 yesterday, down Philippine Stock Exchange 10.13 points or 0.15 percent, index (PSEi) ended while the broader All Shares index slipped 16.18 points or 0.41 percent.

Total value turnover was likewise thin at P4.63 billion. Decliners trumped advancers, 149 to 57, while 43 issues were unchanged.

Chris Mangun of AAA Equities said the market ended flat as sentiment remained generally cautious.

“There was less volatility on blue chips while second and third liners saw increased volatility, with several taking substantial losses due to a lack of buying. Several mining issues gave up some of the gains it took in the last couple of weeks on profit-taking. The weak sentiment is a result of exhaustion from investors,” he said.

He added that investors recognize the high risk of uncertainty given the resurgence of COVID-19 cases, which makes it difficult to make accurate projections for the next three to six months.

“Most investors are now on the sidelines waiting for a clearer signal that it isn’t going to get any worse from where we are,” he said.

Japhet Tantiangco, an analyst at PhilStocks Financial Inc., said investors are generally worried over the local economy.