Share prices fell Wednesday on continued profit taking.
The peso closed up.
This developed as Philstocks Financial Inc. said the local stock market is likely to close the year with an earnings growth of 5 to 15 percent, enough to push the Philippine Stock Exchange index (PSEi) to close between 6,998.71 and 7,665.26.
At yesterday’s trade, the PSEi was down 0.8 point to 6,882.12, a 0.01 percent drop.
The broader All Shares index was down 1.26 points or 0.03 percent to 3,729.52.
Losers edged gainers 113 to 76 with 54 stocks unchanged. Trading turnover reached P5.56 billion.
The peso closed at 56.58 to the dollar, up from 56.61 on Tuesday.
The currency opened at 56.53 and hit a high of 56.50 and a low of 56.62. Trading turnover reached $1.57 billion.
Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said it is a “a good signal for the financial markets and for the overall economy” that the peso further appreciated recently from familiar ranges.
Traders are likely to focus at inflation data.
Philstocks Financial said in a report “with a robust labor market and easing inflation, we expect strong demand within the economy which in turn would trickle down to the revenue of our companies. “
“With easing inflation, we also expect the increase in production costs to be tempered. All of these would benefit our companies’ bottomlines,” Philstocks said.
It said growth will be underpinned by a second half inflation of within government target of 2 to 4 percent, a continued monetary easing by the central banks, and the economy growing between 5.7 and 6.1 percent.
At the bourse, most actively traded International Container Terminal Services Inc. was down P0.60 to P398. Universal Robina Corp. was down P0.95 to P89.95. SM Investments Corp. was down P4.50 to P900. Jollibee Foods Corp. was down P7 to P254. BDO Unibank Inc. was up P0.20 to P153. Ayala Land Inc. was down P0.15 to P34.85. AREIT Inc. was down P0.65 to P37.50. DigiPlus Interactive Corp. was up P1.05 to P23.25.
