Asian stocks fell after Standard and Poor’s (S&P) downgraded the credit rating for Spain, influencing local stocks to extend its decline within the week.

Asian stocks dropped, with the regional index heading for its lowest level in a month, as S&P downgraded Spain’s credit rating.

The Philippine Stock Exchange index continued to glide downwards, posting a 0.30-percent decline, or 16.13 points to close at 5,353.47, while the broader-all shares ended flat with a 2.94-points decline, or 0.08 percent to 3,555.64.

Harry Liu, president of Summit Securities Inc., said that the market is just going through a correctional phase and hopefully next week the bourse would stabilize.

“The market is just going through with the global sentiments,” he added.

Only two sub-indices managed to end in the green. Mining and oil recovered at 1.43 percent, or 278.95 points to 19,768.35, while the property counter rose by 0.66 percent, or 13.65 points to 2,065.07.

Services, however, fell by 0.69 percent, or 12.29 points to 1,769.99, followed by holding firms, which decreased by 26.81 points, or 0.58 percent to close at 4,583.24.

The financials counter ended flat with a 0.27-percent drop, or 3.65 points to 1,347.93, the while industrial sector ended with a 0.20-percent drop, or 16.93 points to 8,265.48.

Market breadth remained negative as decliners prevailed over losers, 81 to 74.

The top losers on Thursday are IPVG Corp., which was down by 0.94 percent, Ionics Inc., fell by 8.57 percent and Araneta Properties Inc., which slid 5.56 percent, among others.