PSE Index Welcomes "Ber" Months Up Slightly

The Philippine Stock Exchange (PSE) index closed slightly higher today as investors remained cautious, awaiting further news on the U.S. Federal Reserve's rate decision and the Bangko Sentral ng Pilipinas' projected 25 basis point rate cut.

The Philippine Stock Exchange (PSE) Index, September 2, 2024

This cautious approach led to a mixed performance among the six sub-indices, with the PSE index closing 25.87 points or 0.38 percent higher at 6,923.41 points.

With the August "ghost month" now over, market traders are optimistic that the index will finally reach the elusive 7,000-point milestone, which is also the index's resistance level. The start of the "Ber" months is expected to spur a vigorous expansion in consumer spending, leading to higher economic growth.

Additionally, the projected decline in the inflation rate, typically announced on the fifth day of the month, is contributing to positive market sentiment.

Foreign buying outpaced foreign selling, resulting in a net foreign buying of P419 million. The market saw more gainers than losers, with 105 stocks advancing, 87 declining, and 56 remaining unchanged.

Foreign trades totaled P5.3 billion, while value turnover decreased by a fifth to P4.89 billion.

The financials, holding firms, and services sectors rose by 0.56 percent, 1.27 percent, and 0.89 percent, respectively. Meanwhile, industrials declined by 0.39 percent, property dropped 0.98 percent, and mining and oil fell by 2.24 percent.

The market's trading range fluctuated within six points, with the highest index at 6,927.25 points and the lowest at 6,933.51 points.

ICTSI was the top-traded stock, with P410 million in trades as it gained 2.22 percent to close at P405, up by P8.80. It was followed by market bellwether SM Investments, which saw trades of P382 million and closed P10.50 higher at P895.50.

Citystate Savings Bank was the top gainer, hitting the price ceiling of 50 percent, closing at P8.94, an increase of P2.98, following the disclosure of an investment by a Hong Kong-based financial services firm at a 185 percent premium.

Among the gainers were Ayala Corp., Jollibee Foods, Universal Robina, SPNEC, Roxas and Co., Bank of the Philippine Islands, Metrobank, Monde Nissin, GT Capital, CEMEX Holdings, and Security Bank.

PSE, Semirara Mining, ACEN Corp., Belle Corp., Bloomberry, Citicore RE, First Gen, Converge, Philweb, OceanaGold, Figaro Coffee, Emperador, Cosco Capital, JG Summit, Cebu Air, PAL, Puregold, Robinsons Retail, DoubleDragon, OceanaGold, and MRC Allied also gained.

Losers included Ayala Land, SM Prime, Synergy Grid (which declined following news of a fine from the ERC), PLDT, Apex Mining, Alternergy, Megawide, Abacore, Alliance Global, DMCI Holdings, Dito CME, San Miguel, and Robinsons Land.

Closing out the list of losers were Ginebra, Axelum, Petron, Apex Mining, Atlas Mining, Philex, Nickel Asia, and ABS-CBN. Unchanged stocks included BDO Unibank, PNB, Union Bank, Basic Energy, Aboitiz Equity, Manila Water, Boulevard Holdings, Megaworld, and AgriNurture.