Stocks extend decline on rate hike de-risking
The local stock market took a heavy beating yesterday, extending its losing streak to three days, as investors maintained their cautious stance in line with the anticipated 25-basis-point rate hike of the Bangko Sentral ng Pilipinas.
The Philippine stock market suffered a significant decline yesterday, with the benchmark Philippine Stock Exchange index falling 2.16 percent, or 132.65 points, to close at 6,004.58. The broader All Shares index also dropped by 1.62 percent, settling at 3,339.50. This follows the anticipated 25-basis-point rate hike by the Bangko Sentral ng Pilipinas, causing investors to adopt a cautious approach.
Heavyweight selling led the market down, with ICTSI, BDO, and Ayala Corp. among the top decliners. These three companies' heavy selling overwhelmed modest gains from RL Commercial REIT, Aboitiz Equity Ventures, and Ayala Land. Foreign investments continued to withdraw, with net outflows reaching P2.32 billion. Middle East uncertainties further dampened investor sentiment.
All sectors saw declines, but services experienced the steepest drop at 3.81 percent. Financials and industrial indexes fell by 1.67 percent and 1.55 percent, respectively. Despite the overall downturn, total turnover value improved to P7.82 billion, up from P5.35 billion the previous day. ICTSI was the most traded stock, dropping 4.29 percent to P881 per share. BDO and Ayala Land also saw significant declines of 2.45 percent and 0.65 percent, respectively.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
