Foreign selling drags bourse for 2nd day
Credit to Author: Tyrone Jasper C. Piad| Date: Tue, 26 Nov 2019 17:15:15 +0000
FOREIGN selling kept the stock market in the red territory for the second straight day on Tuesday.
The bellwether Philippine Stock Exchange index (PSEi) dropped by 0.82 percent or 63.82 points to close at 7,707.80, while the wider All Shares fell 0.58 percent or 27.18 points to finish at 4,626.36.
“The massive volumes today came in right before the close as foreign investors repositioned themselves in [alignment with] the MSCI (Morgan Stanley Capital International) Philippine index,” AAA Equities head of research Christopher Mangun said.
Foreign selling of P19.2 billion edged out foreign buying of P14.4 billion, resulting in a net foreign selling of P4.8 billion.
“The PSEi’s failure to hold the 7,750 support level confirms that it wants to go lower and, perhaps, test the major support level at 7,500,” Mangun said.
Meanwhile, Regina Capital Development Corp. head of sales Luis Limlingan said fresh developments in the ongoing trade war between the United States and China continued to weigh on PSEi.
China’s official Xinhua news agency reported on Tuesday that Chinese Vice Premier Liu He spoke by phone to US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin.
The two sides “discussed solving issues regarding each other’s core concerns, reached consensus on properly resolving related issues, and agreed to maintain communication on remaining issues in consultations on the ‘phase one’ deal,” it added without providing more details.
Wall Street was up, with the Dow Jones, S&P 500 and Nasdaq gaining 0.68 percent, 0.75 percent and 1.32 percent, respectively.
Asian markets were mixed. Tokyo was up by 0.35 percent, Shanghai increased by 0.03 percent and Thailand added 0.08 percent, but Hong Kong slid by 0.10 percent, Seoul fell by
0.10 percent, Jakarta dropped by 0.51 percent and Singapore declined by 0.26 percent.
In Manila, all sectors dropped, except for services and mining and oil, which rose by 0.43 percent and 2.56 percent, respectively.
Volume turnover stood at 1.51 billion shares amounting to P21.16 billion.
Decliners led advancers, 99-72, while 55 issues were unchanged.
WITH A REPORT FROM AFP