Share prices dip on lack of catalysts

MANILA, Philippines - Uncertainties in line with US president-elect Donald Trump’s inauguration on Friday and the absence of market catalyst pulled down what was initially an upbeat local stock market yesterday.

The Philippine Stock Exchange index (PSEi) retreated to its fourth consecutive loss on Monday, opening the week nearly flat or 0.07 points lower at 7,238.45.

The broader All Shares index, meanwhile, went in the opposite direction as it gained 4.04 points to close at 4,364.87.

“Investors are just waiting for a catalyst, like full year company earnings or full year GDP result. Until then, the market is in a risk-off mode,” AB Capital Securities analyst Victor Felix said.

The PSEi was tracking in the green early in the day, finishing the morning session 30.44 points higher.

However, things took a sharp turn in the afternoon session as selling prevailed.

According to Felix, a thin turnover value at P4.4 billion suggested low participation in yesterday’s session.

“This is possibly in line with the anticipation of  Donald Trump’s inauguration on Friday,” he said.

Four out of the six sectoral indices finished in the red, led by the financials and industrial sectors which dropped 0.60 percent and 0.69 percent, respectively.