MANILA, Philippines — Local stocks closed slightly lower on Wednesday as investors locked in gains late in the session, overshadowing upbeat inflation data ahead of the release of second-quarter economic growth figures.
The benchmark Philippine Stock Exchange Index (PSEi) slipped 0.16 percent, or 10.33 points, to close at 6,286.31 after failing to hold the 6,300 level.
READ: Inflation slows to 6.2% in July
According to brokerage AB Capital Securities Inc., local stocks initially traded higher after the latest inflation print strengthened expectations that the Bangko Sentral ng Pilipinas could maintain a more accommodative monetary policy stance.
READ: Remolona sees ‘little chance’ of aggressive interest rate hikes
However, the gains proved short-lived as selling pressure intensified toward the close, with investors locking in recent profits and dragging the benchmark into negative territory.
“Investors initially welcomed the softer inflation data, raising hopes for a more accommodative monetary policy outlook. However, selling pressure intensified toward the close as traders locked in recent gains, resulting in a weaker finish,” said Luis Limlingan, head of sales at Regina Capital Development Corp.
The broader market remained relatively resilient, with 102 advancing stocks outnumbering 84 decliners.
Value turnover reached P5.04 billion, excluding extraordinary block sales, while foreign investors remained net sellers, unloading a net P585 million worth of local shares.
Mining and oil was the lone sector to finish in positive territory, climbing 4.63 percent. Financials fell 0.33 percent, industrials declined 0.31 percent, properties dropped 0.17 percent, services slipped 0.09 percent and holdings edged down 0.06 percent.
Among individual stocks, JG Summit Holdings Inc. emerged as the market’s biggest gainer, rising 2.97 percent to P22.50.
On the losing side, DigiPlus Interactive Corp. posted the steepest decline, dropping 5.64 percent to P9.20. /pai INQ
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