outbrain
Close  

Black Thursday: PSEi sees worst freefall in 12 years

/ 04:12 PM March 12, 2020

The local stock market saw its worst freefall since the global financial crisis of 2008 on Thursday as the investors fled to safer havens amid the worsening coronavirus (COVID-19) pandemic.

ADVERTISEMENT

The main-share Philippine Stock Exchange index (PSEi) slid by 616.99 points or 9.71 percent to close at 5,736.27.

This marked the PSEi’s lowest finish since Dec. 18, 2012. In terms of percentage decline, this was the worst bloodbath seen since Oct. 27, 2008.

FEATURED STORIES

“While a technical rally is in order, such is expected to be temporary. We are just in the first wave of a major bear wave. The lesson from 1929: the infamous ‘Black Thursday’, ‘Black Monday’ and ‘Black Tuesday’ were just the beginning!,” said Ron Acoba, chief investment strategist at equities research provider Trading Edge.

For the first time in recent history, the PSE imposed a 15-minute trading halt on the entire market close to 3 pm when the PSEi’s decline breached 10 percent, applying the circuit breaker introduced in 2008.

The index hit an intra-day low of 5,697.13- representing a decline of 10.33 percent – when the circuit break was triggered.

Based on technical readings, Acoba said a minor support could be found at the 2013 low of 5,700 while the next support levels should be at 4,500 and then at 3,800.

PSEi on Black Thursday 2020

Subscribe to Inquirer Business Newsletter
Read Next
EDITORS' PICK
MOST READ
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: PSEi
For feedback, complaints, or inquiries, contact us.


© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.