PSEi drops 0.6%, closes at 7,276.82

The local stock barometer slipped below the 7,300 mark yesterday after a short-lived euphoria on the Bangko Sentral ng Pilipinas’ move to curb inflation.

The Philippine Stock Exchange index (PSEi) shed 43.77 points or 0.6 percent to close at 7,276.82, reversing early gains while regional markets traded with mixed sentiment.

Dealers said the BSP’s fresh 50-basis point interest rate hike moved up the market in early trade.  As rising inflation is a big concern for the market, especially in the aftermath of Typhoon “Ompong,” this widely anticipated monetary tightening was a welcome move for investors.

Later in the day, however, a stock market dealer said some investors might have closed out intraday positions, dragging down the index at close.

The PSEi was weighed down most by the property counter, which fell by 2.37 percent, while the industrial counter declined by 1.24 percent.

The holding firm and mining/oil counters also slipped.

On the other hand, the financial counter gained 1.94 percent, while the services counter added 0.66 percent.

Total value turnover for the day amounted to P6 billion.  There was a modest net foreign selling of P29.14 million.

There were 99 decliners that edged out 85 advancers, while 50 stocks were unchanged.

Investors dumped shares of Aboitiz Power, which fell by 4.43 percent, following a $579.2-million deal to acquire from the Ayala group a company that owns and operates the 316-megawatt GNPower Mariveles coal plant.

LTG also slid by 4 percent, while property giants Ayala Land and SM Prime tumbled by 3 percent and 2.95 percent, respectively.

Meralco and URC declined by over 1 percent, while Metrobank, Jollibee, Metro Pacific and Security Bank also slipped.

On the other hand, BPI gained 4.45 percent, while BDO and PLDT both added over 3 percent.

SM Investments also posted a slight gain.

Outside the PSEi, gaming firms Melco Resorts and Bloomberry firmed up.