PSEi closes down 1.6% on concerns over COVID-19 spread

The local stock barometer slipped below the 6,800 mark on Friday, tracking a global bloodbath caused by escalating concern over the spread of coronavirus (COVID-19) outside China.

Shares of Metro Pacific Investments Corp. (MPIC) bucked the day’s downturn, rising by 5.23 percent, and becoming the day’s most actively traded company. This was after President Duterte attended the inauguration of MPIC’s North Luzon Expressway Harbor Link toll road project on Thursday.

Apart from improved optics on the relationship with Mr. Duterte, stock pundits said MPIC was also boosted by the company’s buyback program.

The main-share Philippine Stock Exchange index (PSEi) lost 114.39 points or 1.66 percent to close at 6,770.38, in line with sluggish markets across the globe.

“COVID-19 is still the disease affecting the market. Reports of two more cases in the country have not helped calm the nerves of investors. Good news, such as lower inflation, possible lower interest rates and lower oil prices, are just being shrugged off by PSEi,” said Astro del Castillo, managing director at local fund management firm First Grade Finance.

“Recovery can only be expected if a global pandemic is avoided and a medical solution is within reach,” Del Castillo said.

Reversing the gains in the last two days, the PSEi ended 17.53 points or 0.26 percent lower than last week’s finish of 6,787.91.

All counters ended lower, led by the property sub-index which lost 2.07 percent, while the financial counter shed 1.98 percent.

The industrial, holding firm and mining/oil counters all slipped by over 1 percent.

Value turnover for the day amounted to P5.88 billion. There was net foreign selling of P271 million.

There were 138 decliners that overwhelmed 45 advancers, while 38 stocks were unchanged.

First Gen was among the most battered for the day, declining by 9.98 percent.

Metrobank lost 5.36 percent while Jollibee tumbled by 4.08 percent.

BPI declined by 3.25 percent and Security Bank fell by 3.83 percent while ICTSI lost 2.95 percent. SM Prime dropped by 2.41 percent.

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