Lingering headwinds sink stocks deeper

MANILA, Philippines — The local stock market sank deeper as investor sentiment remained affected by lingering headwinds.

The Philippine Stock Exchange index fell for a fifth consecutive session yesterday, losing 1.87 percent or 129.90 points to end at 6,810.11.

The broader All Shares index also suffered a steep drop, shedding 1.21 percent or 46.68 points, settling at 3,820.34.

“Lingering headwinds including the weak peso and the impact of president-elect Donald Trump’s planned protectionist policies on the global economy continued to weigh on sentiment,” Philstocks Financial research manager Japhet Tantiangco said.

Tantiangco said that adding to these woes was Fitch Solutions’ BMI’s downgrade of its Philippine 2024 economic growth forecast from six percent to 5.8 percent.

He said trading remained tepid yesterday with net value turnover at P5.09 billion, below the year-to-date average of P5.17 billion.

“Foreigners were still net sellers with net outflows at P1.11 billion,” Tantiangco said.

Sectoral gauges were covered in red, all of which declined by more than one percent.

Taking the biggest hit was the property index with a 2.32-percent plunge, followed by services with a 2.22-percent drop.

Market breadth continued to be negative as decliners pummeled decliners, 134 to 61, while 63 stocks were unchanged.

Among the index members, DMCI Holdings posted the biggest gain at 1.12 percent while URC lost the most with 5.42 percent.

Ayala Land was the top traded company, dropping by 3.32 percent to P30.55 per share, followed by ICTSI, which decreased by 2.51 percent to P380.20.