The local stock market ended flat Tuesday, June 1 after a weak start as the listing of Monde Nissin’s shares failed to spark a rally.
The main index shed 1.06 points or 0.02 percent to close at 6,627.43 as the Mining and Oil counter led the retreat while the Financials and Property sectors advanced.
Volume rose to 4.08 billion shares worth P14.78 billion, boosted by trades in MONDE shares worth P3.2 billion as well as block sales of around P7 billion. Gainers actually outpaced losers 107 to 101 with 41 unchanged.
“Philippine shares closed flat to start the month of June with investors awaiting the US equity market to resume from the Memorial Day weekend, while most of the focus today was on the IPO of Monde Nissin,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that, “Others assessed the recent policy stance of the BSP moving forward. BSP Chief Diokno assured the public that they would continue implementing an accommodative monetary policy until the economy stages a sustainable recovery.”
Philstocks Financial Senior Analyst Japhet Tantiangco said “The local market inched down as selling pressures dominated the trading in the end. This comes as the NCR Plus is placed under GCQ with restrictions while more areas in the country are placed under MECQ due to COVID-19 risks.”
He noted that, “Malacanang’s consideration of the Bayanihan 3 bill as non-urgent also weighed on market sentiment.”
AAA Equities Head of Research Chris Mangun said “The market ended flat or unchanged despite opening much lower. Gains in large-cap property and bank stocks offset losses of holding and industrial firms for the PSEi. Several mining issues also slid due to profit-taking as they were trading at multi-year highs.”
He added that, “Investors are taking a step back to assess the developments and key economic data which will be released before the end of the week. “