Philippine equities fell for the sixth trading day in a row on Wednesday, driving the benchmark index to the 7,400-point territory as the market took its cue from declines overseas and investors kept to the sidelines ahead of a long weekend and the release of third-quarter earnings next week.
The main PSE index dropped 1.13 percent, or 85.81 points to 7,494.41, while the All Shares index retreated 1.10 percent, or 49.20 points to 4,441.89.
Justino Calaycay Jr. of A&A Securities Inc. told The Manila Times that after Wall Street ended yesterday’s session lower, investors took a wait-and-see stance while waiting for the release of corporate earnings for the third quarter starting November.
“There are three possible influences that come to mind. First, overnight, US stocks were lower on earnings forecasts and an overhang of the interest rate outlook. Second, we are heading into an extended weekend, and given the uncertainties, investors may not be willing to hold stocks over the weekend . . . Third, the pre-departure dare of President Duterte for investors who do not agree with his statements to leave,” Calaycay said in a text message.
Third-quarter corporate earnings will be released starting next week when the market resumes trading after the October 31 and November 1 (Monday and Tuesday) holidays.
Sectoral losses were across the board, led by a 1.77 percent fall in the services index.
Only Ayala Corp. and Metrobank posted gains among the top traded stocks, while active decliners included Ayala Land Inc., Security Bank Corp., SM Prime Holdings Inc., BDO Unibank Inc., and GT Capital Holdings Inc.
Overall value turnover was P6.25 billion on volume of 946.212 million shares. Decliners outnumbered advancers, 137 to 56, while 38 issues were unchanged.
On the currency exchange, the Philippine peso gained some strength, or half a centavo to P48.335 versus the dollar on Wednesday, from P48.34:$1 the previous day.