Share prices ended flat Monday, tracking overseas leads.
The Philippine Stock Exchange index (PSEi) was up 2.10 points to 7,282.67, a 0.3 percent hike.
The broader all shares index was up 0.84 of a point to 3,878.95, a 0.02 percent hike.
Losers edged gainers 117 to 71 with 51 stocks unchanged. Trading turnover reached P8.47 billion.
The peso closed at 50.65 to the dollar, down from 50.307 on Friday. The currency opened at 50.53, an intraday high and hit a low of 50.80. Trading turnover reached $1.4 billion.
Asian currencies like the Philippine peso, Thai baht and the Indonesian rupiah fell between 0.2 percent and 0.3 percent, Reuters reported.
“Expectations on Fed policy shifts will continue to weigh on AXJ (Asia ex-Japan) currencies,” analysts at Mizuho said in a note.
Federal Reserve officials Richard Clarida and Christopher Waller on Friday suggested that a faster pace of stimulus tapering may be appropriate amid a quickening recovery and heated inflation, pushing the greenback to multi-months high.
Growing anxiety over surging new coronavirus disease 2019 infections in Europe also aided the dollar, while safe-haven assets such as bonds, gold and the yen have also benefited from the recent cautious tone in financial markets.
“Given renewed lockdowns in Europe, questions should also be asked on the durability of re-opening in rather fragile EM (emerging market)-Asia economies,” Mizuho analysts added.
Luis Limlingan, managing director at Regina Capital and Development Corp., said the market “traded quietly, tracking the performance of regional markets.”
“Oil prices fell to a six-week low on Friday as new COVID-19 lockdowns sparked demand concerns (in the US) just as industry players signal a return of supply. Brent crude, the international benchmark, was down 2.5 percent, to $79.19 a barrel. US WTI (West Texas Intermediate) crude was down 3 percent, to $76.63 a barrel. WTI is down 9.5 percent from the high of $84.65 that it reached on Oct. 26,” he said.
Limlingan also noted gold prices dropped to a one-week low, weighed down by gains in the dollar after Federal Reserve Governor Waller called for early tapering of economic support to help chart a tighter monetary policy.
“Spot gold fell 0.6 percent to $1,848.05 per ounce. US gold futures settled 0.5 percent lower at $1,851.60,” he said.
Japhet Tantiangco, analyst at Philstocks Financial Inc., -said last minute bargain hunting sent the market up.
“For the most part of the day, however, the local bourse was in the negative territory as investors exited the market due to the lack of a strong catalyst,” Tantiangco said.
Foreign funds were net sellers worth P461.90 million.
Most actively traded Monde Nissin Corp. was up P0.54 to P18.62. Converge ICT Holdings Inc. was down P0.45 to P30.80. The Keeper Holdings Inc. was down P0.07 to P1.62. PLDT Inc. was down P30 to P1,670. BDO Unibank Inc. was up P2.40 to P128. SM Prime Holdings Inc. was down P0.05 to P35.90. AC Energy Corp. was up P0.08 to P11.90. Synergy Grid and Development Phil. Inc. was up P0.36 to P15.06. Globe Telecom Inc. was down P10 to P3,620. Universal Robina Corp. was up P1.50 to P134.
