Stocks lose intraday gains in volatile trading
The local stock market lost most of its intraday gains but still managed to end in the green as oil prices rose further due to the war in Ukraine.
The PSEi inched up 12.15 points or 0.17 percent to close at 6,989.88 as Banks led the advance while Conglomerates and Mining firms retreated. Volume was hefty at 16.8 billion shares worth P10.73 billion with slightly more losers than gainers at 108 to 102 with 33 unchanged.
“Philippine shares closed slightly higher in a still wildly volatile trading week as investors assessed the implications of the Ukraine-Russia conflict on the trajectory of global growth,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
The WTI, the benchmark crude for North America, surged as much as 7 percent to over $128 a barrel on US President Biden's remarks that the U.S. will ban Russian oil importation.
AB Capital Securities said “Market rebounded from yesterday's sell-off, but trimmed its gains at the close as most investors remain risk averse due to geopolitical issues in Europe.”
It added the, “High-flying mining stocks corrected today as commodity prices start to plateau.”
Philstocks Financial Senior Supervisor for Research Japhet Tantiangco said “The local bourse edged higher as bargain hunters took opportunities out of its preceding 3-day 5.55 percent decline. Gains were trimmed however by last minute selling.”
He noted that, “The rise in our gross international reserves last February 2022 which can cushion the impact of external shocks helped the local market in its climb.”