The Philippine Stock Exchange index (PSEi) fell 51.03 points or .73 percent to 6,956.60 while the peso closed to its weakest in two and a half years.
The broader all shares index was down 20.41 points to 3,697.63, a 0.55 percent drop.
Losers edged gainers 103 to 78 with 53 stocks unchanged. Trading turnover reached P7.6 billion.
The peso closed at 52.35 to the dollar, down from Friday’s 52.335.
The currency opened at 52.31 and hit a high of 52.31 and a low of 52.40. Trading turnover reached $599.8 million.
Michael Ricafort, chief economist at Rizal Commercial and Banking Corp. (RCBC) said the peso closed among its weakest since August 2019 after the latest hawkish signals from Fed officials and higher US Treasury yields recently after the widely expected 0.25 Fed rate hike and more expected to come.
Ricafort said the benchmark 10-year US Treasury yields is nearing its three-year highs at 2.18 percent.
Most Asian currencies started the week on a negative footing on Monday, with the South Korean won and Thai baht leading losses as investors assessed the fallout from an intensifying Russia-Ukraine conflict, while regional equities were mixed, Reuters reported.
The Malaysian ringgit and the Philippine peso slipped about 0.2 percent each, with the peso continuing its decline for a third session as the central bank last week hinted it may not keep step with monetary tightening in the United States.
Luis Limlingan, managing director at Regina Capital and Development Corp., said the stock market drop as oil prices climbed once more and investors continue to digest the recent Fed’s rate hike decision and developments over Ukraine-Russia peace talks.
“Oil prices were set for a second straight weekly loss, but found a floor above $100 a barrel on Friday after volatile trading this week with no easy replacement for Russian barrels in sight in a market already marked by tight supply,” he said.
Most actively traded SM Investments Corp. was down P22.50 to P880. International Container Terminal Services Inc. was down P4.60 to P220.20. Ayala Land Inc. was down P0.75 to P34.70. SM Prime Holdings Inc. was up P0.20 to P38.85. Monde Nissin Corp. was down P0.64 to P13.70. BDO Unibank Inc. was down P1.70 to P126.10. Converge ICT Holdings Inc. was up P0.70 to P25.90. PLDT Inc. was up P44 to P1,730. Solar Power Nueva Ecija Corp. was down P0.06 to P1.76. Metropolitan Bank and Trust Co. was down P0.70 to P52.10.
