MIXED. The main stocks index declines anew Wednesday (Aug. 31, 2022) as investors worry on the implications of further hikes in the Federal Reserve's key rates. Meanwhile, the peso finished the day sideways against the US dollar. (PNA graphics)
MANILA — Jitters for more Federal Reserve rate hikes resulted in another negative close for the local bourse’s main index on Wednesday, while the peso ended sideways against the US dollar.
The Philippine Stock Exchange index (PSEi) shed 1.59 percent, or 106.62 points, to 6,583.65 points.
All Shares trailed after it declined by 1.35 percent, or 47.78 points, to 3,500.72 percent.
Most of the sectoral indices also went down, led by Holding Firms after it fell by 3.50 percent.
It was followed by Services, 1.57 percent; Mining and Oil, 1.03 percent; Financials, 0.91 percent; and Industrial, 0.85 percent.
Only the Property index gained during the day after it rose by 0.98 percent.
Volume totaled to 1.45 billion shares amounting to PHP8.87 billion.
Decliners led advancers at 128 to 67, while 42 shares were unchanged.
“The local index stretched its losing streak to close the month on the Fed’s (Federal Reserve) remarks that it will raise its interest rates still to temper inflation despite potentially negative impacts on the economy and corporate profits,” said Luis Limlingan, Regina Capital Development Corporation (RCDC) head of sales.
He said “oil prices steeply plunged yesterday on inflation fears and brewing unrest in Iraq.”
Limlingan said Brent crude oil futures slipped by 5.5 percent to USD99.31 per barrel and the West Texas Intermediate (WTI) also by 5.5 percent to USD91.64 per barrel.
The local currency finished the day’s trade at 56.145 from previous day’s 56.225 close.
It opened the day at 56.2 and traded between 56.21 and 56.11. The average level for the day stood at 56.171.
Volume declined to USD 810.71 million from day-ago’s USD 1.08 billion. (PNA)
