The Philippine Stock Exchange index (PSEi) declined anew following hints from the Federal Reserve of an earlier-than-expected hike in rates but the peso ended the week sideways against the US dollar.
The main stocks index lost 0.53 percent, or 36.54 points, to 6,851.38 points.
All Shares gave up 0.43 percent, or 18.06 points, to 4,166.90 points.
Most of the sectoral indices also finished the day in the red – Property, 2.01 percent; Financials, 1.06 percent; Mining and Oil, 0.51 percent; and Holding Firms, 0.19 percent.
On the other hand, Services grew by 0.98 percent and Industrial by 0.86 percent.
Volume totaled 2.25 billion shares amounting to PHP9.8 billion.
Losers led gainers at 106 to 98 while 46 shares were unchanged.
“Philippine stocks posted another consecutive day of closing (in) the red, following the Fed’s latest policy update and the rebalancing of the FTSE,” Luis Limlingan, Regina Capital Development Corp. head of sales, said.
The Federal Open Market Committee kept the Fed’s key rates to between zero and 0.25 percent and some officials indicated the possible hiking of rates earlier than expected or by 2023.
Rizal Commercial Banking Corp. (RCBC) chief economist Michael Ricafort, in a report, said the PSEi posted a healthy correction after rallying for three straight weeks.
He forecast the index’s major support level to be between 6,400 and 6,500, “which preserves the structural integrity of the strong upward trend over the past month” but said the minor support of between 6,600 and 6,700 levels “help(s) maintain the underlying strong upward momentum over the past month.”
Meanwhile, the peso ended the week sideways against the US dollar at 48.43 from 48.38 the previous day.
It opened at 48.42 and traded between 48.44 and 48.325, averaging at 48.387.
Volume totaled USD1.07 billion, lower than the previous session’s USD1.79 billion.
Source: Philippines News Agency
