SHARE prices on the Philippine Stock Exchange retreated on Thursday, tracking regional peers.
The benchmark PSEi index lost 0.36 percent or 28.03 points to close at 7,858.34. The broader All Shares dipped 0.20 percent or 9.27 points to finish at 4,699.52.
“Philippine stocks slumped before the Bangko Sentral ng Pilipinas (BSP) released its stance on monetary policy while tracking regional peers, Regina Capital Corp. Managing Director Luis Limlingan said.
“US stocks slumped to a second day of losses, as oil price continued to head lower, dragging energy shares along,” Limlingan said.
“A negative start on Wall Street’s leads persisted throughout the day, preventing the PSEi to climb above 7,920. Support is pegged at 7,800,” he added.
Harry Liu, president of Summit Securities Inc., said the market basically reacted to higher interest rates in the US and a weaker peso.
“But I think overall, we’re going through short-term volatility that might lead trading to somewhere about 7,800. That’s where the support is,” Liu said.
The Monetary Board on Thursday decided to keep policy rates unchanged and revised the inflation outlook downward to reflect a slower rise in prices.
“The Monetary Board’s decision is based on its assessment that the outlook for inflation continues to be manageable,” BSP Governor Amando Tetangco Jr. told reporters after the Monetary Board meeting.
Sectoral indices were mixed. Property lost 0.82 percent, Industrials slipped 0.61 percent, Services dipped 0.44 percent, Mining and Oil eased 0.27 percent and Holding Firms dropped 0.12 percent. Sole gainer Financials rose 0.32 percent.
More than 2.8 billion issues, valued at P8.6 billion, changed hands. Losers outnumbered gainers, 102-98, while 47 issues were unchanged.