PSEi extends decline as oil price soars
The local stock market tumbled for a second straight day as elevated crude prices continued to dampen investor sentiment.
Manila, Philippines — The Philippine Stock Exchange index (PSEi) experienced a second consecutive day of decline as soaring crude oil prices weighed heavily on investor sentiment. The PSEi closed down 0.87 percent or 50.47 points, settling at 5,738.40 points. The broader All Shares index also fell by 0.62 percent or 19.89 points, reaching 3,202.83 points.
Analyst Michael Ricafort attributed the market's decline to higher global crude oil prices and elevated US Treasury yields, which negatively impacted US stock markets. The decline in the local market followed Wall Street's negative performance overnight. Uncertainties surrounding the US-Iran conflict, as well as its potential impact on the global oil market, further dampened market sentiment.
All sectors suffered losses, with the industrial index recording the most significant decline at 1.2 percent, followed by the services sector, which dropped by 1.18 percent. Total turnover value increased slightly to P5.39 billion from the previous day's P5.19 billion. Foreign investors were net sellers, with net outflows amounting to P973.48 million.
Market breadth remained negative, with 112 decliners outpacing 72 advancers. The ICTSI was the most actively traded stock, falling by 1.46 percent to P909 per share. Other notable performers included Ayala Corp., which rose by 1.49 percent to P490, and Meralco, which declined by 4.09 percent to P417.20. Global stocks mostly declined as hopes for reopening the Strait of Hormuz faded due to expectations of another US Federal Reserve interest rate hike next month.
The optimism of easing Middle East tensions was thwarted when US President Donald Trump rejected Iran's proposal for a seven-day cease-fire.
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.
