PSEi down on profit-taking as COVID-19 concerns linger

Share prices on the Philippine Stock Exchange retreated on Friday as investors booked gains from previous sessions while concerns on the economic impact of coronavirus disease still linger.

The benchmark PSEi lost 43.22 points or 0.58% to 7,369.78 at the closing bell. The broader All Shares shed 29.11 points or 0.66% to 4,346.76.

“The PSEi retreated today at 7,369.78 after encountering resistance at 7,431 due to Friday profit-taking on selected blue chip stocks,” Unicapital Securities equity analyst Christopher San Pedro said.

“Perhaps, the investors are still cautious to hold stock positions as the COVID-19 outbreak and its potential short term economic impact continued to weigh on investor sentiment,” San Pedro said.

On Wall Street, US stocks fell on led by declines in technology heavyweights, after reports of new coronavirus cases in China and other countries intensified fears over its spread and impact on the global economy, according to a report by Reuters.

Likewise, Philstocks Financial senior equity analyst Japhet Tantiangco said that lingering concerns over the coronavirus epidemic are putting pressure on the local market.

“Investors are worried of a possible global outbreak which was warned about by WHO (World Health Organization) chief,” Tantiangco said.

“Of course, the global outbreak would weigh on the global economy which in turn would drag local market and even other equity markets around the world,” he said.

Foreign funds bought P2.929 billion shares and sold P3.556 billion for a net selling position of P627.635 million.

More than 695.747 million shares valued at P5.198 billion, changed hands. Decliners led advancers, 104 to 76, and 51 issues were unchanged. —LDF, GMA News