The local stock market weakened after its recent surge as investors took profits.
The PSEi shed 47.64 points or 0.70 percent to close at 6,774.68 as the Services sector led the retreat although Banks and Mining firms managed to advance. Volume jumped to 2.17 billion shares worth P35.7 billion as losers beat gainers 113 to 76 while 48 were unchanged.
“Philippine shares closed in the red on heavy trading activity as investors tracked the latest MSCI rebalancing” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He noted that, “There were also just a few catalysts due to the U.S. stock market being closed due to the Memorial Day holiday.”
Philstocks Financial Senior Supervisor for Research Japhet Tantiangco said “The local market pulled back as investors took profits from its preceding 4-day rally.”
He added that, “The rise in oil prices caused by the European Union’s decision to cut 90 percent of its Russian crude imports by the end of the year contributed to the decline.“
Tantiangco said net value turnover was strong on the back of the MSCI Rebalancing.