Stocks sold down as US summer rally fades, peso up

- Advertisement -

Share prices ended lower Tuesday tracking overseas leads. The peso closed up.

The Philippine Stock Exchange index (PSEi was down 86.3 points, a 1.128 percent drop to 6,618.38.

The broader All Shares index was down 46.2 points or 1.29 percent to 3,531.91.

- Advertisement -

Losers edged gainers 151 to 37 with 40 stocks unchanged. Trading turnover reached P5.66 billion.

The peso closed at 56.70 to the dollar, up from 56.21 on Monday.

The currency opened at 56.26 and hit a high of 56.05 and a low of 56.26. Trading turnover reached $864.05 million.

The Indonesian rupiah reversed course on Tuesday to appreciate after the central bank unexpectedly raised its benchmark interest rate.

Among other regional currencies, Thailand’s baht depreciated 0.3 percent. Elsewhere in Southeast Asia, Singapore’s dollar firmed 0.1 percent after the city-state’s key consumer price gauge rose in July at its fastest pace in more than 13 years, heightening expectations of policy tightening by the Monetary Authority of Singapore.

Market sentiment was further dampened by an aggressive US Federal Reserve policy view and a renewed surge in European energy prices that stoked recession fears.

The dollar index, which measures the greenback against a basket of major peers, traded flat near its six-week high amid growing fears of a hawkish message from the Federal Reserve’s Jackson Hole symposium later this week.

Luis Limlingan, managing director at Regina Capital and Development Corp., said local shares were sold down as the summer rally in the US faded amid mounting rate hike concerns.

“A handful of eco(comic) data are set to be released on Tuesday including July new home sales will also be reported, along with August manufacturing PMI and the August Richmond Fed survey. Back home, profit-takers continued to emerge sending the PSEi to retreat to the 6600 level after staying in the overbought region for last week,” he said.

Most actively traded SM Investments Corp. was down P.35 to P36.21. Ayala Land Inc. was down P1.05 to P27.85. International Container Terminal Services Inc. was down P0.60 to P184.20. Security Bank Corp. was down P0.35 to P88.50. Emperador Inc. was down P0.80 to P20.70. Puregold Price Club Inc. was down P0.85 to P34.90. PLDT Inc. was down P35 to P1,734. Converge ICT Solutions Inc. was down P0.40 to P18.80. BDO Unibank Inc. was down P1.50 to P125. Ayala Corp. was down P17 to P719.5.

Author

- Advertisement -

Share post: