G-20 summit jitters pull down PSE index below 8,000

The benchmark Philippine Stock Exchange index fell below 8,000 on Friday as investors cut their holdings ahead of developments at the G-20 Summit in Osaka, Japan.

By the closing bell, the PSEi was down 0.72 percent or 57.93 points to 7,999.71 while the broader all-shares index dropped 0.62 percent, or 30.53 points, to 4,893.78.

The decline reflected wariness as US President Donald Trump is expected to meet Chinese President Xi Jinping amid an ongoing trade war between the world’s two largest economies.

Only mining and oil closed positive on Friday with a gain of 0.85 percent. All other sub-sectors ended in negative territory, led by industrial stocks, down 1.45 percent, followed by financials, down 1.06 percent.

Volume was also unusually heavy on Friday due to the block sale of BDO Unibank shares and increased foreign activity. Data from the PSE showed some 1.3 billion shares valued at P19.56 billion changed hands by the end of yesterday’s session.

The PSE recorded an P11.3-billion block sale of BDO shares, reportedly after Malaysia’s Khazanah Nasional sold its holdings. Net foreign selling also hit P6.3 billion on Friday.

The SM Group’s BDO Unibank Inc. was the  most actively traded on Friday as it sank 1.75 percent to P140 a share.

It was followed by SM Prime Holdings Inc., down 2.11 percent to P37.10; Ayala Land Inc., up 0.4 percent to P50.80; Ayala Corp., down 0.22 percent to P894 and Globe Telecom, down 0.79 percent to P2,262 a share.

Other actively traded stocks were SM Investments Corp., down 4.6 percent to P166; Bank of the Philippine Islands, down 0.38 percent to P78.50; First Gen Corp., down 0.92 percent to P26.80 and Abacore Capital Holdings, up 12.9 percent to P1.05 a share.