Stocks sink further as investors stay on sidelines

MANILA, Philippines — Stock prices closed lower for a third straight session as investors stayed on the sidelines in search for fresh leads.

The benchmark Philippine Stock Exchange index fell by 1.07 percent or 70.26 points to end yesterday’s trading at 6,501.34.

The broader All Shares index likewise dropped by 0.72 percent or 25.34 points, settling at 3,484.74.

“Philippine shares hit the 6,500 support level as US investors resume trading and will be anticipating key economic data later this week,” Luis Limlingan of Regina Capital said.

Mikhail Plopenio, research and engagement officer at Philstocks Financial, said the local market declined as investors digested the latest clues on the Bangko Sentral ng Pilipinas (BSP)’s monetary policy outlook.

“Primarily, investors digested the results of the BSP’s latest survey which showed that the majority of respondent analysts project policy rates to remain unchanged in the third quarter of 2024,” Plopenio said.

“Also digested was BSP Senior Assistant Governor Iluminada Sicat’s remarks, saying that upside risks to inflation remain, causing the BSP to remain restrictive with its policy,” he said.

Plopenio said foreigners were net sellers with net outflows of P784.38 million.

Net market value turnover improved to P4.96 billion from the previous day’s P3.81 billion.

Sectors were dominated by those in the red, with only two gauges in the green.

Property took the biggest hit with a 1.84-percent loss, while mining and oil posted the largest gain at 1.49 percent.