Higher interest rates, war, China’s COVID-19 woes dampen stocks  

MANILA, Philippines — Shanghai, Tokyo, Hong Kong and Seoul fell.

On the home front, the Philippine stock market continued to plunge with the benchmark Philippine Stock Exchange Composite index (PSEi) finishing  92.93 points or 1.33 percent lower at 6,895.36.

Wall Street’s benchmark S&P 500 index slid 1.7 percent on Monday as investors waited for a new round of corporate results to see how profits are affected by inflation that is at a four-decade high.

Markets are uneasy about plans by the Federal Reserve and other central banks to try to cool inflation by rolling back ultra-low interest rates.

Russia’s attack on Ukraine and China’s decision to shut down most businesses in Shanghai, its commercial capital, to fight coronavirus outbreaks have added to the anxiety.

“Worries linger about the COVID-19 situation,” said Anderson Alves of ActivTrades in a report. “Markets are eyeing the situation in Ukraine for signs that could trigger further risk-off price action.”

At the PSE, the broader All Shares index lost 42.37 points or 1.14 percent to close at 3,685.84.

“The PSEi tracked the decline in global markets. However, volume remained thin as most investors stay on the sidelines ahead of the long weekend starting Thursday. The index shed 1.33 percent to close at 6,895.36,” said AB Capital Securities.

Most sectoral indexes finished in the red led by the industrial, property and mining and oil sectors.

Total value turnover reached P5 billion.

Market breadth was negative with 113 losers against 50 gainers, while 60 issues were unchanged.