PSEi at lowest in 2 months

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    Share prices ended lower Monday as investors opted to take profit following the reimposition of  modified enhanced community quarantine (MECQ) in Metro Manila.

    The Philippine Stock Exchange index (PSEi) was down 212.53 points to 5,715.92, a 3.59 percent drop.

    The  broader all shares index was down 101.81 points to 3,398.46, a 2.91 percent drop.

    Losers edged gainers 154 to 51 with 39 stocks unchanged. Trading turnover reached P6.59 billion.

    The peso closed at 49.095, up from 40.15 on Thursday. It opened at 49.15 and hit a high of 49.07 and a low of 49.185. Trading turnover reached $568.65 million.

    Luis Limlingan, managing director at Regina Capital Development Corp., said “shares closed much lower to kick off August, after weighed down the sudden shift back to MECQ, disappointing global economic data and a lack of progress on Capitol Hill toward another coronavirus aid package.

    Yesterday’s close dragged the PSEi to a 26.86- percent contraction to date and is the market’s lowest since hitting 5,570.22 last May 28.

    Reuters reported that the PSEi fell as much as 3.9 percent, its lowest in more than two months, just a few days before the government reports on its the economy’s performance for the second quarter of the year.

    Reuters reported that economists expect a deeper contraction compared with the 0.2 percent contraction decline in the first quarter “as the pandemic-induced lockdown shuttered businesses and sapped domestic consumption, a main driver of growth.”

    “We reiterate that the Philippines is indeed headed into a severe crash landing with the probability of the economy returning to its former glory any time soon now declining by the day,” said Nicholas Mapa, economist at ING bank.

    Most actively traded SM Investments Corp. was down P30 to P860. SM Prime Holdings Inc. was down P1.45 to P28.55. BDO Unibank Inc. was down P3 to P85. Emperador Inc. was down P0.04 to P9.06. Ayala Corp. was down P26.50 to P700. Ayala Land Inc. was down P1 to P31.30. Universal Robina Corp. was up P2.60 to P125. Bank of the Philippine Islands was down P3.50 to P64.70. Jollibee Foods Corp. was down P8 to P127. PLDT Inc. was down P23 to P1,317.