PSEi tracks US market decline, peso weakens further

By Kris Crismundo

August 4, 2023, 5:43 pm

<p><em>PNA graphics</em></p>

PNA graphics

MANILA – The local stock barometer and the peso finished this week’s trading weaker.
On Friday, the Philippine Stock Exchange index (PSEi) closed at 6,450.84 after rebounding from last day’s trading.
“The local bourse plummeted by 125.92 points (1.91 percent) to 6,450.84, mirroring the decline in US market amid concerns over increasing US bond yields after a credit downgrade,” Philstocks Financial Inc. research associate Claire Aviar said.
All shares declined by 51.88 points to 3,447.61 levels.
Only Property shares closed with gains at 2.761.15, up by 26.63 points.
Among losers, the steepest drop came from the Industrial sector that shed 216.89 points. This was followed by Holding Firms, dropped by 174.55 points; Mining and Oil, 99.04 points; Services, 33.69 points; and Financials, 30.24 points.
“Onshore, there was some relief as the country’s inflation rate in July came in at 4.7 percent, within the BSP’s (Bangko Sentral ng Pilipinas) forecast of 4.1 percent to 4.9 percent,” Alviar said. 
“However, worries persist due to the escalating global rice prices which could put pressure on the country’s inflation rate.”
Alviar said selling pressure at the PSE was strong this day as net market value turnover stood at PHP6.52 billion, higher than this year’s average of PHP5.11 billion.
Majority of the counters ended in the red at 115 than the 58 companies that closed in the green.
Shares of 44 firms were left unchanged.
Top gainer was ACEN Corp. while San Miguel Corp. was the biggest loser.
Meanwhile, the peso depreciated for three days in a row, ending the week at 55.74 to a US dollar from the previous day’s close of 55.52.
It already opened the trading weaker at 55.60 from Thursday’s kick off at 55.30.
The currency pair traded from a low of 55.55 to a high of 55.78, settling to an average level of 55.68 to the greenback.
Volume of trade slightly declined to USD1.14 billion from USD1.28 billion from the previous trading. (PNA)