Investors booked profits after a six-day run at the Philippine stock market pulling down the Philippine Stock Exchange index by 0.58 percent, closing down 42.52 points at 7,321.82.
Losers edged gainers 99 to 88 with 52 stocks unchange.
Trading turnover reached P7.15 billion.
SB Equities Inc., said the drop is expected after six consecutive sessions of gains. This is further compounded by local and global developments weighing on sentiment like the “uncertainty on US President-elect’s future policies and the statements from British PM Theresa May on Britain’s exit from the EU” that continue to be of concern to investors.
“Locally, the administration’s decision to increase the SSS pension may look to dampen local buying moment in Philippine equities,” it said.
Most actively traded SM Prime Holdings Inc. was down P0.30 to P31. Ayala Corp. was up P3 to P796. SM Investments Corp. was down P10 to P680. Ayala Land Inc. was down P0.20 to P34.20. Globe Telecom Inc. was down P43 to P1,783.
Pilipinas Shell Petroleum Corp. was up P2.80 to P75.30. JG Summit Holdings Inc. was down P0.60 to P75.70. Semirara Mining and Power Corp. was down P1 to P134. PLDT Inc. was down P25 to P1,565.
Other Southeast Asian markets edged up, tracking gains in Asian peers, as investors looked to US President-elect Donald Trump’s news conference later in the day for clues on his policies.
While Trump’s plan for tax cuts and infrastructure spending has boosted US shares and the dollar, his protectionist statements during the months-long election campaign have kept many investors on edge.
“We are vulnerable to Trump’s protectionist policies, so I think investors will be closely watching that,” said Victor Felix, an analyst with AB Capital Securities, adding that foreign buying was back after significant outflows over the past two-three
The market has rallied a lot and too fast, so “investors are taking profits right now, letting it cool off”, said Felix.
“Foreign investors see that the Philippines will be able to weather whatever protectionist policies Trump might have, mainly because of the strong GDP growth rate.”
Singapore shares were 0.3 percent higher, extending gains into a seventh session.
Telecommunication services providers were the top performers followed by consumer goods. Singtel rose as much as 1.6 percent and was headed for a sixth consecutive session of gains.