Index continues decline on lack of positive news

MANILA, Philippines - The main Philippine Stock Exchange (PSE) index slipped for the second straight day yesterday due to the absence of positive news amid continuous concerns overseas.

The PSEi fell 0.49 percent or 24.31 points to end at 4,904.22, while the broader all shares index dropped 0.22 percent or 7.12 points to 3,284.95.

“There is lack of interest from the market. If you look at value turnover, it is thin given the risks overseas,” Astro C. del Castillo, managing director of First Grade Finance Inc., said in a phone interview.

Del Castillo said the debt issues in Europe and the concern over China has yet to subside, dragging investors’ interest.

Turnover eased to P3.96 billion from P5.44 billion a day ago. Decliners outpaced advancers, 85 to 68, while 41 stocks did not change.

“There are no market-moving news, no fresh leads so the market is flat,” Del Castillo said.

Most subindices were in the red, led by financial firms that declined 1.43 percent or 17.46 points to 1,196.18. The gainers were led by property companies that rose 0.87 percent or 15.39 points to 1,791.80.

Other markets in Asia also struggled to make headway Thursday as the lack of a breakthrough in Europe’s attempts to shake off its debt crisis kept sentiment gloomy.

Worries over Greece intensified after European leaders adjourned a summit without taking concrete measures to prevent Europe’s debt crisis from exploding and Greece from making a messy exit from the region’s shared currency.

Japan’s benchmark Nikkei 225 was marginally down at 8,563.38 while Hong Kong’s Hang Seng fell 0.2 percent to 18,666.40.

But the trading mood in Asia could improve because China, the world’s No. 2 economy, was expected to embark shortly on new measures to help stimulate growth.

The Dow Jones industrial average fell 0.1 percent to close at 12,496.15. The Standard & Poor’s 500 index rose 0.2 percent to 1,318.86. The Nasdaq rose 0.4 percent to 2,850.12.– AP