"Dead Cat's Bounce" Sees PSE Index Down Again

The Philippine Stock Exchange (PSE) today declined to 6,404.91 points, down by 61.19 points or 0.95 percent, indicating that Wednesday's rise can be considered what is termed a dead cat's bounce.

Photo Insert: The Philippine Stock Exchange (PSE) Index, March 16, 2023

The bearish sentiments remain with the feared contagion arising from the closure of two US banks that experienced bank runs. Market analysts said that apprehension pervading the markets with future actions from US federal reserve eagerly anticipated is determining the course of the stock market.

All the sub-indices were in the red though before the market recess three were up that showed up in the index's high of 6,437.67 points.

Financials lost 1.70 percent, the biggest loss due to the uneasiness, industrials were down by 1.31 percent, holding firms down by 0.40 percent, services were down by 1.05 percent, mining and oil, down by 1.12 percent, and property, down by 0.73 percent.

Value turnover was above average at p6. 59 billion with 41 gainers, 145 losers, and 42 shares unchanged.

This week's trading will test the support point at 6,350, and should the index scour a new bottom, then the bearish sentiment will take hold, analysts said.

In today's trade, there were only three gainers, among them being ICTSI, which emerged as the most active stock with trades of P670 million, Ayala Corp, which rose by P13 to P624, and Emperador, which went up by 5 centavos to P21.06.

Market bellwether SM Investments was unchanged at P874 but it had a volatile trade with a low of P848 and a high of P879.

Among the losers were BDO Unibank, the second most active with trades of P624 million as it lost P2.80 to P121.50, and Ayala Land, the third most active stock with P349 million as it went down by 20 centavos to P26.30.

SM Prime sank 5 centavos to P34, Figaro Coffee was down by 11 centavos to P0.90, Bank of PI, down by P1.40 to P102.90, Globe Telecom, down by P28 to P1,730, Jollibee Foods down by P9 to P215, PLDT, down by P10 to P1,300, Metrobank, down by P1 to P56, Universal Robina, down by 60 centavos to P140.80, and Wilcon Depot, down by 45 centavos to P27.05.

Completing the list of sagging stocks were GT Capital, down by P20.80 to P491.20, Metro Pacific down 9 centavos to P3.75, Security Bank, down P1 to P92.05, Manila Water, down 40 centavos to P17.40, and ACEN Corp, down 5 centavos to P6.

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