Share prices closed lower Tuesday on profit-taking.
The peso closed down.
The Philippine Stock Exchange index was down 69.15 points to 6,700.49, a 1.02 percent drop.
The broader All Shares index was down 17.34 points or 0.48 percent to 3,525.94.
Gainers edged losers 110 to 87 with 51 stocks unchanged. Trading turnover reached P22.29 billion.
The peso closed at 57.76 to the dollar, down from 57.675 on Monday.
The currency opened at 57.60 and hit a high of 57.45 and a low of 57.77. Trading turnover reached $1.89 billion.
Asian emerging currencies were subdued, as investors awaited a series of economic data due this week and the outcome of the US Federal Reserve’s policy meeting.
Markets are awaiting a slew of data this week, including the European inflation and US labor market reports. Investors will also focus on the Fed’s two-day meeting ending on Wednesday at which it is expected to stand pat on interest rates but strike a hawkish tone.
Investors have dialled back expectations for the timing and magnitude of US rate cuts this year after hotter-than-expected inflation reports, with markets pricing in a 57.9 percent chance of a rate cut in September, CME FedWatch Tool showed.
Traders are now pricing in 35 basis points of cuts in 2024, drastically lower than the 150 bps of easing priced at the start of the year.
Mihail Philippe Plopenio, analyst at Philstocks Financial Inc., said investors took to profit taking after six days of gain, leading the market to drop.
“All sectors were in the red,” Plopenio noted.
“Investors booked gains ahead of the Federal Reserve’s meeting to avert risks regarding the Fed’s decision. The bourse struggled to have a clear direction early in the day before heavy selling occurred near the closing bell. This reflected the cautiousness of the investors throughout the session,” he added.
Most actively traded International Container Terminal Service Inc. was down P5.20 to P331.
Bank of the Philippine Islands was down P1.50 to P127.50. BDO Unibank Inc. was down P1.60 to P148.20. SM Prime Holdings Inc. was down P0.85 to P27.95. Ayala Land Inc. was down P0.75 to P28.75. SM Investments Corp. was down P19 to P950. Manila Electric Co. was up P2 to P369. Metropolitan Bank and Trust Co. was steady at P70. Universal Robina Corp. was down P1.70 to P103.20. Ayala Corp. was up P5.30 to P615.
