Share prices ended lower Monday as investors opted to be risk-averse amid increasing cases of the new coronavirus disease 2019 (COVID-19).
This developed as the Philippine Stock Exchange (PSE) yesterday imposed a one-day trading suspension of ABS-CBN Corp. following the House of Representatives’ decision to deny the renewal of its franchise.
“Pursuant to the foregoing basic principle and disclosure standard, the Exchange required the company to submit a full disclosure on the impact of the non-renewal of its legislative franchise on the business, financial condition and operations of the company, as well as its prospects and business plan moving forward, and such other material information for the investing public,” it said.
The PSE index was down 24.81points to 6,172.57, a 0.40 percent drop.
The broader all shares index was down 18.85 points to 3,633.75, a 0.52 percent drop.
Losers edged gainers 136 to 69 with 34 stocks unchanged. Trading turnover reached P4.64 billion.
The peso closed at 49.45 to the dollar, up from 49.485 on Friday.
The currency opened at 49.455, an intraday low and hit a high of 49.375. Trading turnover reached $667.15 million.
SB Equities Inc. said the market bucked the regional uptrend “as investors continue to be risk averse following the rise of coronavirus cases in the country.”
“Investors awaited government’s announcement later in the day regarding the status of the lockdown from July 15 onwards, with expectations seeing a status quo in NCR (National Capital Region) while cases remain elevated,” it said.
Voting 70-11 in favor of denying the renewal and two congressmen abstaining, the House Committe on Committee on Legislative Franchises voted to deny ABS-CBN’s application for a fresh 25 year mandate to operate a free to air TV using airwaves, considered to be a national patrimony whose use is subject to congressional oversight as a form of privilege.
Most actively traded BDO Unibank Inc. was down P3.20 to P91.50. GMA Network Inc. was up P0.62 to P6.65. Ayala Corp. was down P12 to P733. PLDT Inc. was up P36 to P1,396.
Ayala Land Inc. was up P0.40 to P32.40. Metropolitan Bank and Trust Co. was down P0.50 to P36. SM Investments Corp. was steady at P940. Jollibee Foods Corp. was up P3.40 to P140.90. Metro Pacific Investments Corp. was down P0.07 to P3.48. Megaworld Corp. was down P0.07 to P3.07.
