Banks Lead Market Rebound
I have stated in numerous occasions in my newsletters that foreign buying has evidently been rotating to the banking financial sectors. Today’s remarkable rebound came about as the key Phisix heavyweight components price charts have been showing signs of fissures on the downside. The Phisix’s electrifying advance of 45.08 points or 2.57% came about mostly on the foreign led buying in the banking sector (+2.92%) which posted the best gains among the industry indices.
The erstwhile leaders in the telecoms industry seemed to have been bogged down by foreign led profit taking in the recent past. Although in today’s session they remained in the lists of foreign instigated sell-offs, the palpable local support on these issues provided the framework for its notable advance, PLDT up 3.1% while Globe rallied by 2.06%.
The banking sector led by top traded Bank of the Philippine Islands (+4.21%) soaked up P 94.937 million of foreign capital representing almost 94% of today’s cumulative net foreign inflow P 100.742 million. Foreign buying was basically broad based with more than twice more issues that recorded inflows than the outflows. Foreign money accounted for the significant majority or 58.62% of today’s turnover. The foreign profit taking in SMPH, PLDT, Globe Telecoms and Digitel was more than offset by substantial inflows in ex-banking issues as Ayala Corp. (+4.76%), Jollibee Foods (unchanged), Ayala Land (+2.89%), First Philippine Holdings (+3.7%) and Petron Corp. (+6.77%) leaving the considerable foreign buying margin to the banking sector, most especially to BPI.
While today’s advances maybe an subsequent offshoot to the recent sharp selloffs, as technical indicators suggest, it remains to be seen if the banking inspired across the board rally may be able to counterbalance the still ongoing foreign led liquidations in the telecom sector. Will the banking sector take the cudgels and be the next leaders to lift the Phisix, aside from Ayala Corp? Stay tuned.
I have stated in numerous occasions in my newsletters that foreign buying has evidently been rotating to the banking financial sectors. Today’s remarkable rebound came about as the key Phisix heavyweight components price charts have been showing signs of fissures on the downside. The Phisix’s electrifying advance of 45.08 points or 2.57% came about mostly on the foreign led buying in the banking sector (+2.92%) which posted the best gains among the industry indices.
The erstwhile leaders in the telecoms industry seemed to have been bogged down by foreign led profit taking in the recent past. Although in today’s session they remained in the lists of foreign instigated sell-offs, the palpable local support on these issues provided the framework for its notable advance, PLDT up 3.1% while Globe rallied by 2.06%.
The banking sector led by top traded Bank of the Philippine Islands (+4.21%) soaked up P 94.937 million of foreign capital representing almost 94% of today’s cumulative net foreign inflow P 100.742 million. Foreign buying was basically broad based with more than twice more issues that recorded inflows than the outflows. Foreign money accounted for the significant majority or 58.62% of today’s turnover. The foreign profit taking in SMPH, PLDT, Globe Telecoms and Digitel was more than offset by substantial inflows in ex-banking issues as Ayala Corp. (+4.76%), Jollibee Foods (unchanged), Ayala Land (+2.89%), First Philippine Holdings (+3.7%) and Petron Corp. (+6.77%) leaving the considerable foreign buying margin to the banking sector, most especially to BPI.
While today’s advances maybe an subsequent offshoot to the recent sharp selloffs, as technical indicators suggest, it remains to be seen if the banking inspired across the board rally may be able to counterbalance the still ongoing foreign led liquidations in the telecom sector. Will the banking sector take the cudgels and be the next leaders to lift the Phisix, aside from Ayala Corp? Stay tuned.
No comments:
Post a Comment