Stocks ease 13 pts as investors take profits

Share prices retreated slightly as investors took early profits from the gains made during a mild four-day run-up. The 30-company composite index shed off 12.7 points after posting a cumulative 78.1-point rise since Wednesday last week.

The Phisix ended at 1470.07, just under one percent off its previous level. The All-Shares index slid 3.48 points or 0.56 percent to 619.79, as value turnover thinned down to P740.26 million.

The sectoral indices closed mixed. The commercial-industrial and property counters fell on profit taking while the banks and financial services and mining sectors managed to eke out gains. The oil index closed unchanged.

Losing stocks dominated trading with 56, as against 29 advancers and 39 unchanged issues.

Leading the sell-off were technology stocks iVantage Corp. and PhilWeb, along with the Ayala companies, SM Prime Holdings and Benpres Holdings Corp.

Gregorio Kilayko, a PSE governor and chairman and president of ABN-Amro Asia Securities (Philippines), said in a press briefing that there are still elements of uncertainties prevailing in the market right now, adding to the bearish mood among investors -- particularly the foreign fund managers.

He said in the short period of recovery, the locals have led the pack but somehow -- as negative developments unfold -- the lack of follow-through have turned into false starts and made these investors gun-shy.

Foreigners, which have been net sellers for practically the entire five-month period this year, have usually led the market's bull runs due to their heavy buying spree. There are 37 active foreign stockbrokerage houses (out of 170 members) at the PSE, combining for a sizable share of over half of total transactions.

Kilayko said at this stage, "it's hard to tell if the market has reached bottom, but there seems to be support at the 1400 mark."

The release of economic figures during the first quarter (3.4-percent gross domestic product and 3.46-percent gross national product) also did little to excite the market, as analysts said these results have been largely anticipated and were already factored in into share prices, particularly of blue-chip stocks with strong macroeconomic base like San Miguel, PLDT, Meralco and Ayala Land.

San Miguel closed steady at P51 while its "B" shares slid five centavos to P52. The food and beverage conglomerate said it has reached the terms of minimum acceptance for its controlling 50.1-percent acquisition of Australian premium beer brewer J Boag & Son Ltd.