RP shares up slightly as market awaits new signs

MANILA, Philippines- The main index recouped lost ground but investors failed to push stocks higher on lack of fresh leads. The 30-company Philippine Stock Exchange index (PSEi) rose 0.21 percent or 5.15 points to 2,438.04. Market breadth was positive with more advancers at 44 than 36 losers although most issues were unchanged at 68. Volume of shares traded went down to 730.1 million but its value increased to P1.96 billion. "After three days of bearish run the local bourse has decided to join the upbeat movement of the Wall Street, though at still a cautious stance," Unicapital Securities Corp. said. BPI Securities Corp. saw consolidation persisting this week. Five most traded stocks were higher led by Philippine Long Distance Telephone Co. at P2,410. Its subsidiary Philippine Telephone Corp. aims to close the purchase of 223 million Manila Electric Co. shares by July 14 in line with its agreement with the Lopez group to close the transaction by end August. Meanwhile, Philex Mining Corp. closed higher to P7.20. Ayala-led companies Globe Telecom Inc. and Bank of the Philippine Islands finished higher at P970 and P42, respectively. Ayala Corp. gained at P267.50. Unicapital Securities gave a "sell on strength" strategy on BPI as it is trading below the 50-day moving average while volume is slightly waning. "It might be a selling window for BPI as the sentiment for the stock has changed suggested by the start of its new trend. It is a good time to lighten up on BPI as it has started to form lower highs and momentum indicators are showing signs of weakness," it said. The broader all-shares index dipped 0.3 percent or 4.7 points to 1,562.47 while rate-sensitive property index shaved off 0.37 percent or 2.94 points to 799.98. The mining and oil index gained most with almost two percent or 112.87 points to close at 5,758.23. Other indices finished higher but with minute gains. Service index inched up by 0.63 percent or 8.44 points to 1,350.40 while holding firm index added up 0.62 percent or 8.44 points to end stronger at 1,350.40. Rate-sensitive financial index did not follow the decline of property index as it closed higher at 538.25. - GMANews.TV