The day's market - January 16, 2008

Market comments on yesterday's trading
BusinessWorld - January 16, 2008

DOW JONES INDUSTRIAL AVERAGE(DJIA) summary
Index Value: 12,501.11
Trade Time: Jan 15
Change: Down 277.04 (-2.20%)
Prev Close: 12,606.30
Open: 12,613.78
Day's Range: 12,491.03 - 12,794.57

WallStreet continues to show extreme volatility. The DJIA once again moved within a wide 300 point range. It opened strong and was nearly up 200 points early in the session. It however declined and closed near its low.
The 12500 level is a key support for the DJIA. A breakdown may signal a move to lower levels with 12,000 even a likely target.

The local equities market immediately dropped as investors got rattled by another sudden and huge reversal in the US equities market.

PSEi previous close - 3447.29 (January 15, 2007)

time------------down-----------PSEi
9:31-----------46.45-----------3400.84

The sudden decline upon the starting bell of the trading session left a chart gap opening at the 3446 - 3400 levels.
The 3400 level is tested at once.
Advancers 2 Decliners 38

9:32-----------51.22----------3396.07

The 3400 level does not hold for long and the Philippine Stock Exchange Index (PSEi) heads lower.

9:33-----------55.41
9:34-----------62.17
9:35-----------64.25
9:36-----------66.39----------3380.90

The 3380 level is tested soon thereafter.
PhP 40.733 vs US$ 1.00

9:39-----------72.23 ---------3375.06

The support at the 3380 level also proves to be weak and the market continues its decline.

9:41-----------75.59
9:42-----------76.48
9:43-----------76.71
9:44-----------78.08---------3369.21

9:46-----------73.51---------3373.78
9:49-----------77.98
9:50-----------81.59
9:51-----------83.10
9:53-----------86.13
9:58-----------87.39
10:03----------88.28
10:07----------90.07---------3357.22

The PSEi settles at a level just above the 3350 level.

10:10----------87.08---------3360.21
10:12----------86.77
10:14----------83.40
10:19----------81.76---------3665.53
10:21----------83.82

PhP 40.72 vs $1.00

10:34----------85.00
10:37----------82.00
10:38----------80.45
10:46----------80.17
10:47----------84.02

PhP 40.707 vs US$ 1.00

10:52----------84.72
10:55----------81.73
11:00----------83.97
11:02----------81.95
11:03----------76.35-----------3370.94
11:06----------79.20
11:09----------80.36
11:12----------78.42
11:13----------76.87-----------3370.42
11:14----------77.90
11:15----------83.53
11:19----------84.40

PhP 40.699 VS us $1.00

11:23----------85.61
11:24----------86.28
11:29----------85.60
11:30----------87.14
11:36----------85.63
11:39----------86.69

With the last twenty minutes of trading coming up and a technical bounce not happening; selling pressure once again gripped the market. Investors are still very wary on what happens to WallStreet later on.

11:40----------88.90
11:43----------89.21
11:47----------89.38
11:48----------93.95
11:49----------94.86
11:50----------95.18

11:51----------93.74
11:52----------95.08
11:54----------95.74
11:55----------97.12-----------3350.17 (day's low)
11:59----------94.29
12:01----------95.63-----------3351.66 (-2.77%)
Market Close.

Advancers 17
Decliners 125

Value turnover phP 3.634 bn
Cross transactions: PhP 1.524 bn

The market again closes near its low. Its next support level is seen at the 3280-3300 (4 month lows) levels. The 10 day moving average (3444) is now much lower than the 200 day moving average (3494) and a downward momentum is signalled by the technical indicators.

Sectoral Indices fell across-the-board.
Financial -4.60%
M-O -3.91%
Holdings -3.53%
Industrial -3.43%
Property -2.81%
Services -1.29%

The Day's Top Gainers:
EIBB: PhP 0.37
APR: PhP 3.10; +34.78%
BRN: PhP 3.25; +22.64%

The Day's Biggest Decliners:
JOH: PhP 1.50; -16.67%
MFIN: PhP 2.50; -16.67%
SGI: PhP 0.63; -16.00%