MANILA – The local stock barometer dropped for three consecutive days, while the peso gained strength in Thursday’s trade.
The Philippine Stock Exchange index (PSEi) fell 0.76 percent to 6,827.06, while All Shares declined by 0.25 percent to 3,580.32.
Rizal Commercial Banking Corp. (RCBC) chief economist Michael Ricafort said the decline in the local bourse can be attributed to the downward revision of Philippine gross domestic product (GDP) outlook for this year due to slower exports growth and wider budget deficit.
The national debt level, which breached the PHP15-trillion mark, also weighed on the sentiment of the investors, he said.
“The PSEi also corrected lower again after global crude oil prices posted new five-month highs recently amid increased tensions in the Middle East; the benchmark 10-year US Treasury yield among four-month highs, now at 4.37 percent,” he said.
Among sectoral indices, only Mining and Oil and Financials recorded gains at 0.54 and 0.27 percent, respectively.
The biggest shedding came from the Services counter, contracting 1.27 percent, followed by Industrial (-0.90 percent), Property (-0.54 percent), and Holding Firms (-0.39 percent).
Losers outpaced gainers at 101 to 77, with 53 left unchanged.
Meanwhile, the peso strengthened on Thursday at 56.36 to a US dollar from 56.45 to a dollar the previous day.
The local currency opened the day at 56.35 from last day’s kick-off at 56.30.
The peso and dollar exchange ranged from 56.35 to 56.50 during the trading, averaging at 56.41 to the greenback.
The volume of trade rose to USD1.26 billion from USD1.19 billion the previous trading.
“For tomorrow, the peso exchange rate could range at the 56.25 to 56.45 levels,” Ricafort added. (PNA)
