Philippine stocks down as investors hedge over eurozone debt

MANILA, Philippines—Local stocks trekked lower on Wednesday, as investors adopted a wait-and-see stance ahead of crucial talks on the eurozone’s sovereign debt crisis on Thursday.

The Philippine Stock Exchange index (PSEi) ended the trading session at 4,224.76, a decline of 17.76 points, or 0.42 percent, and ended a three-day streak of wins for the main stock barometer.

SM Investments Corp. was the most active issue of the day, but ended unchanged at P551 a share.

All eyes, however, were on PLDT, which received regulatory approval on Wednesday for its plan to acquire a 51-percent stake in Gokongwei-controlled Digital Telecommunications Philippines Inc (Digitel).

PLDT shares ended higher at P2,330 apiece from the previous session’s P2,306.

Shares of rival Globe Telecom Inc. ended lower at P892 a share from the previous session’s P900 despite being the main beneficiary of the conditions imposed by the telecommunications regulator on PLDT.

“All eyes are still on the European Union summit to see whether they will come together to rescue the bonds of their troubled member-states,” one broker said.

All sectoral indices ended in the red, except for the services sector, which managed to eke out a 0.38-percent gain.

Trading activity was heavy, with P8.6 billion worth of shares changing hands.

Advancers were edged out by decliners, 59 to 77, while 37 shares closed unchanged.