Manila: Profit-taking resulted in the drop of the Philippine Stock Exchange index (PSEi) on Thursday and the Philippine peso weakened against the U.S. dollar. According to Philippines News Agency, the local bourse's main index shed 1.23 percent to 6,288.25 points, and the broader All Shares decreased by 0.77 percent to 3,437.23 points.

Most of the sectoral indices finished in the red, with the Property sector leading the decline after a 3.74 percent fall. The Mining and Oil sector followed with a 2.70 percent drop, while Services decreased by 1.26 percent, Holding Firms by 1.09 percent, and Industrial by 0.02 percent. The only sector to gain was Financials, which saw a modest increase of 0.13 percent.

Trading volume reached 1.34 billion shares amounting to PHP14.25 billion. Decliners outnumbered advancers, with 96 stocks falling, 89 rising, and 63 remaining unchanged. Philstocks Research, in a market report, attributed the PSEi's drop after a two-day rally to "cautiousness amid uncertainties in the Middle East and worries over the general economic outlook."

The report also noted that the Philippine peso's depreciation, as it went back above the 61.00 per US dollar level, negatively impacted the local market. The peso closed the day at 61.34, down from 61.18 the previous day. It opened at 61.2, improved from its 61.35 start in the prior session, and traded between 61.44 and 61.18, averaging 61.28. Trading volume for the peso reached USD1.7 billion, surpassing the previous session's USD1.46 billion.