The Philippine Stock Exchange was marginally lower on Wednesday, with analysts pointing to lackluster profit results and poor investor interest in a newly-listed logistics firm.
The benchmark index closed 0.01 percent or 0.68 points down to finish at 7,985.83. The wider All Shares fell 0.24 percent or 11.51 points to close at 4,723.13.
“I think investors’ sentiment today was driven by disappointing first half earnings reports that continue to trickle in, the continued sell-off of Chelsea Logistics Holdings Corp., and the IMF (International Monetary Fund) cutting [its]Philippine outlook to 6.6 percent,” IB Gimenez Securities, Inc. research head Joylin Telagen said.
The IMF on Tuesday said it was cutting its 2017 and 2018 growth forecasts for the country to 6.6 percent and 6.8 percent, respectively, from the previous 6.8 percent and 6.9 percent following slower than expected first quarter results.
Telagen, however, said investors were still optimistic of the Philippine growth story “due to the government’s increased infrastructure spending and tax reform that pushed investors to buy stocks at the close.”
Regina Capital Development Corp. said the bourse also mimicked US markets that closed down overnight after US President Donald Trump ramped up his rhetoric against North Korea.
Holding firms were the sole sector in the green, gaining 0.52 percent.
Over 1 billion issues valued at P6.9 billion changed hands.
Losers led gainers, 133 to 66, while 45 shares remained unchanged.