Share prices dropped Thursday as investors opted to take profit ahead of the Bangko Sentral ng Pilipinas’ (BSP) policy decision.
The BSP announced a 25 basis point after markets closed.
The peso closed up.
The Philippine Stock Exchange index was down 12.05 points to 6,692.91, a 0.18 percent drop.
The broader All Shares index was down 1.15 points or 0.03 percent to 3,628.15.
Gainers edged losers 103 to 98 with 47 stocks unchanged. Trading turnover reached P5.5 billion.
The peso closed at 56.90 to the dollar, up from 56.955 on Wednesday.
The currency opened at 56.97, and hit a high of 56.90 and a low of57.14. Trading turnover reached $1.33 billion.
Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the cut was a “pleasant surprise” given what he called was a “cautious signal” given by BSP Governor Eli Remollona days before the BSP met.
Meanwhile, global markets scrutinized the US inflation reading which showed consumer prices grew moderately in July, firming expectations the Federal Reserve will cut interest rates soon.
Luis Limlingan, managing director at Regina Capital and Development Corp., said traders opted to take profit ahead of the release of the BSP’s rate decision, due after the bell.
Most actively traded Ayala Land Inc. was up P0.50 to P32. Jollibee Foods Corp. was up P2.40 to P244. Universal Robina Corp. was down P2.65 to P94.05. SM Prime Holdings Inc. was down P0.30 to P30. Converge ICT Solutions Inc. was up P1.26 to P13.60. SM Investments Corp. was up P5.50 to P920. International Container Terminal Services Inc. was up P5 to P374. BDO Unibank Inc. was down P1.20 to P139. GT Capital Holdings Corp. was down P24 to P601. DigiPlus Interactive Corp. was up P0.88 to P19.90.
