PH shares slump further


The stock market further succumbed to volatility as investors continue to weigh the actual impact of US Federal Reserve’s tapering of its stimulus program, which will start in January.

“Market remains tentative as players assess impact of taper,” Jonathan Ravelas, chief market strategist at BDO Unibank Inc., said in a text message.

Ravelas was referring to the US Federal Reserve announcement on Thursday that it will trim its purchases of government-backed bonds by $10 billion to $75 billion a month.

The Philippine Stock Exchange index (PSEi) dipped significantly on Friday by 1.49 percent, or 87.99 points to 5,835.13, while the broader all-shares index snapped by 1.22 percent, or 44.19 points to 3,589.13.

All of the sectoral indices ended on the red side toward the end of the session, with the property counter registering the largest fall at 1.81 percent, or 40.04 points to 2,176.99.

Industrial went down by 1.60 percent, or 139.21 points to end at 8,574.69, followed by financials, which declined by 1.41 percent, or 20.12 points to 1,409.97. Services, on the other hand, fell by 1.11 percent, or 20.65 points to 1,842.27, while holding firms registered a 0.81-percent drop, or 44.34 points to 5,438.83.

Mining and oil was positively flat with a 0.03-percent gain, or 4.04 points to 11,716.29.

Total value turnover stood at P7.6 billion with decliners outnumbering advancers, 91 to 51. Meanwhile, 42 issues were unchanged.

Some of the top losers on Friday were International Container Terminal Services Inc., Puregold Price Club Inc., MacroAsia Corp., Universal Robina Corp., Ayala Land Inc., Globe Telecom Inc., SM Investments Corp., SM Prime Holdings Inc., Ayala Corp., Megaworld Corp. and Manila Water Co.

After a four-day run up, Philippine shares closed on the red side on Thursday, wiping out the gains it had during the early hours of the session. This is in contrast with the positive movements recorded in other regional markets, which was driven by the Federal Reserve tapering announcement.

The PSEi fell by 0.64 percent on Thursday, or 38.43 points to 5,923.12, while the wider all-shares index erased 2.98 points, or 0.08 percent to 3,634.08.


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