Stocks end with second straight loss

MANILA, Philippines —  The stock market closed lower for a second day as investors remained cautious due to the weakening of the peso.

The benchmark Philippine Stock Exchange index dropped by 0.40 percent or 26.44 points to finish the session at 6,607.22.

Also ending in the red was the broader All Shares index, which fell by 0.33 percent or 11.82 points to 3,523.95.

“The local market extended its decline as the Philippine peso remained below the P58 mark against the US dollar,” Claire Alviar of Philstocks Financial said.

“The peso’s weakening could have many negative impacts on our economy, one of which is the upward pressure it may exert on inflation if this trend persists,” she said.

The peso recovered but stayed above the 58 to $1 level to close at 58.06 from Tuesday’s 58.27.

Alviar said foreigners weighed on the market further, registering a net outflow of P644.62 million.

Luis Limlingan of Regina Capital said investors also remained on the sidelines as many eagerly await US index heavyweight Nvidia’s latest earnings report.

“Traders are also anticipating the minutes from the recent FOMC meeting and April’s existing home sales data,” he said.

Net market value turnover thinned to P4.77 billion from the previous day’s P5.45 billion.

Sectors in the red dominated the session, with property suffering the biggest drop of 1.39 percent.

Services and holding firms, meanwhile, gained by 0.90 percent and 0.17 percent, respectively.

Market breadth was negative as decliners pummeled advancers, 111 to 82, while 50 issues were unchanged.