Share prices closed lower Thursday amid continued risk aversion. Attention continues to be fixed on the evolving trade policy of the incoming administration in the US, leading investors to sell local shares, analysts said.
The peso closed up.
The Philippine Stock Exchange index was down 64.05 points to 6,638.54, a 0.96 percent drop.
The broader All Shares index was down 25.14 points or 0.67 percent to 3,734.94.
Losers edged gainers 120 to 69 with 53 stocks unchanged. Trading turnover reached P4.92 billion.
Philstocks Financial Inc. said investors continue to express concern on Trump’s upcoming tariff policy, pushing stocks to continue to slide.
“Adding to the worries is the uncertainty on the Federal Reserve’s policy easing pace amid the uncertainties in the US,” it said.
Most actively traded International Container Terminal Services Inc. was steady at P385. Bank of the Philippine Islands was down P0.90 to P129.60. Ayala Land Inc. was down P0.40 to P28.60. BDO Unibank Inc. was down P0.90 to P152.20. SM Prime Holdings Inc. was down P0.50 to P26.50. SM Investments Corp. was up P1 to P880. Ayala Corp. was down P7.50 to P612. Universal Robina Corp. was down P1.50 to P80.50. PLDT Inc. was up P9 to P1,299. Jollibee Foods Corp. was down P10.60.
The peso, meanwhile, closed at 58.671 to the dollar, up from 58.71 on Wednesday. The currency opened at 58.70, hitting a high of 58.61 and a low of 58.78. Trading turnover reached $1.46 billion.
The Indonesian rupiah led gains among mixed emerging Asian currencies on Thursday as results of local elections eased worries about political uncertainty, while the central bank continues to support the currency.
The rupiah added as much as 0.5 percent against a weaker US dollar.
Candidates backed by new Indonesian President Prabowo Subianto look set to secure victories in key regional elections, with the exception of Jakarta, which analysts said should make it easier to implement and reinforce his political moves and agendas.
“The rupiah is up because of expectations on the election to be settled without significant turbulence,” said Fakhrul Fulvian, economist at Trigmeah Securities. “We should have good transition in local governments early next year with Prabowo’s coalition winning most of the provinces.”
Bank Indonesia earlier in the month flagged there was less room for it to further ease interest rates and that it would work to support the rupiah.
The Mexican peso was last down 0.8 percent, struggling through a difficult week wherein it fell to multi-year lows after US President-elect Donald Trump said he would impose a 25 percent tariff on imports from Canada and Mexico.
Brazil’s real fell to its lowest level since mid-May 2020, as investors await the release of a fiscal package with spending cuts this week.
Elsewhere in Asia, the Bank of Korea unexpectedly lowered benchmark interest rates for the second consecutive meeting as the economy stagnated and inflation slowed more than policymakers had anticipated.
The South Korean won was down 0.2 percent. Among other currencies, the Thai baht rose 0.3 percent, while the Singapore dollar and Malaysian ringgit dropped 0.2 percent and 0.1 percent, respectively.
