{
  "id": 12906955,
  "title": "Stocks plunge amid weak peso, rate hike expectations",
  "url": "https://urgent.news/2026/10/08/stocks-plunge-amid-weak-peso-rate-hike-expectations",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-08T16:00:00.000Z",
  "source": {
    "name": "Philippine Star Business",
    "slug": "philippine-star-business",
    "url": "https://www.philstar.com/business/2026/10/09/2561841/stocks-plunge-amid-weak-peso-rate-hike-expectations"
  },
  "original_language": "en",
  "account": "The Philippine stock market experienced a significant downturn recently, hitting a low not seen in nearly 11 months. The Philippine Stock Exchange index (PSEi) declined by 2.2 percent, or 126.3 points, bringing its closing value to 5,610.39, the lowest it has been since November 14, 2025. The All Shares index followed suit, dropping by 1.45 percent, or 46.44 points, to settle at 3,145.55.\n\nAnalysts attribute this decline to mounting expectations of rate hikes from the Federal Reserve and the Bangko Sentral ng Pilipinas. Japhet Tantiangco, a Philstocks Financial research manager, pointed out that the Federal Reserve's latest meeting minutes hinted at another potential rate increase by the end of the year. Additionally, the Philippines' latest inflation rate of 7.2 percent suggests further monetary tightening might be necessary.\n\nThe local currency, the peso, also weakened, reaching a new low of 62.90 to $1, surpassing the previous record low of 62.86 set on September 14. All sectors of the market suffered losses, with services experiencing the steepest decline at 4.86 percent, followed by the mining and oil sectors, which dropped by 3.43 percent.\n\nTrading volume was high, with the total turnover value reaching P21.14 billion. However, foreigners were net sellers, with outflows totaling P1.18 billion. AB Capital Securities noted that the increased foreign selling reflects growing concerns about a longer period of higher interest rates, compounded by September's inflation reading of 7.2 percent, which is the highest in three years, and broader regional risk-averse sentiment.\n\nThe market breadth was negative, with 112 stocks declining for every 73 that increased, and 67 issues remained unchanged. ICTSI, a major stock, saw the most significant drop, falling by 5.93 percent to P841.50. BDO Unibank and SM Investments also experienced declines of 0.18 percent and 1.26 percent, respectively. AB Capital Securities stated that the PSEi is now near the critical support level of 5,580, while the 5,700 level is expected to become resistance.",
  "summary": "The local stock market plunged to a fresh low in nearly 11 months amid concerns over monetary tightening and the weak peso.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}