PH shares drop 0.91% on Wall Street tech sell-off


SHARE prices on the Philippine Stock Exchange retreated on Tuesday, the first trading of this week, after US markets bore the brunt of a sell-off in technology shares.

The bellwether PSEi dropped 0.91 percent or 72.35 points to close at 7,917.89. The broader All Shares lost 0.88 percent or 41.71 points at 4,707.42.

“Philippine markets locked in more gains by selling down today, after a second straight session of big losses on Wall Street tech stocks a day before the Federal Reserve is expected to raise interest rates,” Regina Capital Development Corp. Managing Director Luis Limlingan said.

Overnight, the Dow Jones Industrial Average dropped 0.17 percent, the tech heavy Nasdaq eased 0.52 percent and the S&P 500 slipped 0.10 percent.

“Another rate increase from the FOMC is now extremely likely and market attention will likely focus on the implications for the policy outlook, as recent data has sharpened the dilemma that the two sides of the mandate are sending increasingly different signals,” Limlingan said.

FOMC is the Federal Reserves’ policysetting Federal Open Market Committee.

Harry Liu, president of Summit Securities Inc., noted the PSEi started down a correction path after breaching the 8000 level last week.

All sectoral indices were in the red. Property lost 2.47 percent, Industrials declined by 1.10 percent, Services retreated by 1.06 percent, Mining and Oil fell by 0.47 percent, Holding Firms eased by 0.37 percent and Financials dipped by 0.29 percent.

Among the most actively traded issues, GT Capital Holdings Inc. gained 3.51 percent or 42 points at P1,240 per share.

The top decliners were Melco Resorts (-8.02 percent), Bloomberry Resorts Corp. (-3.21 percent) and Ayala Land Inc. (-2.51 percent).

More than 1.7 billion shares, valued at P11.2 billion, changed hands. Losers outnumbered gainers, 132 to 68, while 43 issues were unchanged.

The PSE resumed trading Tuesday following a long weekend, with Monday a national holiday to observe the country’s 119th Independence Day.



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