Share prices ended lower Wednesday on increased risk aversion.
The Philippine Stock Exchange index was down 90.43 points to 6,23.40, a 1.43 percent drop.
The broader all shares index was down 49.96 points to 3,858, a 1.28 percent drop.
Losers edged gainers 141 to 55 with 50 stocks unchanged. Trading turnover reached P6.2 billion.
The peso closed at 47.815 to the dollar, down from 47.81 on Tuesday.
The currency opened at 47.80 and hit a high of 47.785 and a low of 47.87. Trading turnover reached $869.05 million.
Claire Alviar, analyst at Philstocks Financial Corp., said a big reason for the market’s retreat was the rebalancing of the MSCI basket.
“There were deletions in the MSCI Global Standard Index and some companies were downgraded to Small Cap Index which provide negative sentiment in the market as we may see further net foreign selling,” Alviar said.
“In addition, the detection of COVID-19 cases variant from India weighed on sentiment as this variant is described as a double mutant and believed to be more transmissible which could hinder the reopening of the economy if it worsens,” she added.
SB Equities Inc. said it did not help that overseas markets were also down.
“Philippine stocks plunged to a fresh year-to-date low on Wednesday, joining a regional sell-off on concerns over faster US inflation and its effect on economic recovery, with the latest MSCI quarterly review that’s expected to see more significant foreign outflow from the local market also weighing on sentiment,” it said.
Most actively traded SM Prime Holdings Inc. was down P1.45 to P32.50. Ayala Land Inc. was down P0.30 to P31.95. PLDT Inc. was down P14 to P1,250. International Container Terminal Services Inc. was down P1.40 to P138.60. Puregold Price Club Inc. was down P0.95 to P32.95. Megaworld Corp. was down P0.16 to P2.82. Jollibee Foods Corp. was down P4.60 to P170.40. Aboitiz Power Corp. was down P0.65 to P23.05. AC Energy Corp. was down P0.27 to P7.05. Ayala Corp. was down P13 to P727.
