Quantcast
Latest Stories

Share prices decline; peso weakens



Local stocks slipped Thursday, dragging the main index below the 6,800 level, as regional markets were spooked by a weak US economic data and growing tension in the Korean peninsula.

Also, the peso fell to the 41-to-a-dollar territory to close at its weakest level since the start of the year.

The main-share Philippine Stock Exchange index lost 31.58 points, or 0.46 percent, to close at 6,783.72.

Value turnover was thin at P6.71 billion. There were 71 advancers against 88 decliners, while 46 stocks were unchanged.

“Market is reflecting rising risk aversion,” said Banco de Oro Unibank chief strategist Jonathan Ravelas. If the next support level at 6,750 would give way, he said, this could extend the correction towards the 6,500 to 6,600 levels.

Investors sold down shares of ALI, MPI, MWC and BPI which all declined by over 1 percent. SM Prime, EDC, Bloomberry, AC, FGEN and RLC also contributed to the slump.

On the other hand, the PSEi’s decline was tempered by the modest gains of Belle, SMC, AEV and AP.

According to currency traders, reports that North Korea is trying to revive an old nuclear facility have spooked financial markets around the world.

The peso Thursday closed at 41.15 against the US dollar, down by 24.5 centavos from the previous day’s finish of 40.905:$1.

Intraday high reached 40.95:$1, while intraday low was 41.175:$1.

Amid eagerness of fund owners to shift to safer havens and away from emerging-market assets, volume of trade breached the $1-billion mark to reach $1.122 billion at the end of the trading day. The amount was up from the $920.2 million traded previously.

“The depreciation of the peso was due to flight to quality resulting from what is happening in North Korea,” Ravelas said. “Domestic factors are favorable, but these were not enough to counter the impact of external developments.”  Doris C. Dumlao and Michelle V. Remo


Follow Us


Follow us on Facebook Follow on Twitter Follow on Twitter


Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: Business , stocks

  • http://twitter.com/stephen_sy stephen christian sy

    PSEi has a very high P/E ratio. it has around 22x. If its 17x like the average of other asian countries.. PSEi should be around.. 5300.

  • Iggy Ramirez

    This is the best news since the start of the year as far as the benefits of peso to the majority of the people are concerned.



Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94
Advertisement
Advertisement

News

  • Russia promises support to ending Ukraine crisis
  • Busted valve delays water interruption
  • Cardinal Tagle decries human ‘commercialization’
  • Religion builds bridges in ethnically split Cyprus
  • Iran general urges Tehran to make new UN pick
  • Sports

  • Vettel hoping for resurgence at Chinese GP
  • MLB pitcher donates $100,000 for Sewol ferry victims
  • Hamilton takes pole at Chinese Grand Prix
  • Duke’s Rodney Hood joining Jabari Parker in NBA draft
  • Phelps entered in 3 events at comeback meet
  • Lifestyle

  • Levine designs womenswear with help from fiancee
  • Gabriel Garcia Marquez, Nobel laureate, dies at 87
  • Ford Mustang turns 50 atop Empire State Building
  • Pro visual artists, lensmen to judge Pagcor’s photo contest
  • ‘Labahita a la bacalao’
  • Entertainment

  • Myx TV premieres Asian American ‘docu-series’
  • A nutty finale for ‘Scandal,’ TV’s craziest show
  • EXO postpones release of mini album ‘Overdose’
  • ‘X-men’ filmmaker slams ‘fabricated’ sex attack claims
  • Singer Chris Brown’s bodyguard on trial in DC
  • Business

  • Fiat-Chrysler to produce iconic Jeep in China from 2015
  • US commerce secretary spells out economic facet of ‘pivot to Asia’
  • Italy sells luxury state cars on eBay
  • Asian shares mostly up in quiet trade
  • Dollar up in Asia on US jobs data, Ukraine deal
  • Technology

  • Nasa’s moon-orbiting robot crashes down
  • Netizens pay respects to Gabriel Garcia Marquez
  • Nokia recalls 30,000 chargers for Lumia 2520 tablet
  • Facebook rolls out ‘nearby friends’ feature
  • Netizens seethe over Aquino’s ‘sacrifice’ message
  • Opinion

  • Editorial cartoon, April 17, 2014
  • A humbler Church
  • Deepest darkness
  • ‘Agnihotra’ for Earth’s health
  • It’s the Holy Week, time to think of others
  • Global Nation

  • DOH to continue tracking co-passengers of OFW infected with MERS virus
  • 5 Filipinos with MERS in UAE reported in stable condition
  • PH boosts MERS monitoring after UAE nurse scare
  • Canadians back PH plea to take back waste
  • We treasure our Sierra Madre
  • Marketplace